Hong Kong Stocks Down By Lunch On Tariff Fears

Hong Kong shares ended the morning slightly lower on trade war fears on Friday as investors await Donald Trump's decision on whether to impose tariffs on China.

The Hang Seng Index shed 0.1 percent, or 40 points, to 30,399.

Shanghai lost 0.3 percent, Seoul dropped 0.5 percent and Taipei was also lower.

Trump is scheduled to unveil on Friday a final list of Chinese imports that would face punishing tariffs, but it remained uncertain whether he would hold fire as part of a negotiating strategy.

Imposing the tariffs would escalate the trade confrontation with Beijing, and potentially set off a round of tit-for-tat retaliation, which economists warn would damage the global economy.

A report in the Wall Street Journal quoting sources close to the matter said the list had been approved and would affect about US$50 billion worth of goods, the same figure that was first announced in March. (AFP)

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