China Says Will Never Surrender to Outside Pressure as US Trade Row Heats up

Escalating tensions between the US and China along with rising geopolitical tensions led to depressed sentiment across the global markets. Markets were rattled after a tweet by President Trump last Sunday stating that he would increase the tariff to 25 per cent from 10 per cent on $200 billion worth of Chinese goods and this was implemented during the week.

He also threatened to impose 25 per cent tariffs on an additional $325 billion of Chinese goods "shortly." To which China said it would take 'necessary retaliatory measures' if U.S. tariffs are raised. The IMF said the worsening dispute posed a threat to the global economy.

Closer home, the ongoing Lok Sabha elections are entering the final phase prior to the counting of votes and results on May 23rd. The various predictions about the fate of the incumbent Government too led to further nervousness on the street.