UBS: S&P 500 Could Fall 20%

World stock markets could fall by 20% or more if there is a full-blown trade war, according to UBS. However, if things do not escalate, the S&P 500 could reach 3,150

David Brenchley 17 July, 2018 | 7:40AM

Traders on Wall Street, Trade War, S&P 500, stock market crash, US, China, Donald Trump

Stock markets around the world could fall by 20% or more and global GDP growth by more than 1% should the US-China conflict become a full-blown trade war, according to economists at UBS.

US President Donald Trump has been ramping up his rhetoric against China, in response to claims of unfair trade practices and theft of intellectual property by the Asian powerhouse. Initial tariffs on the import of $34 billion worth of goods from China to the US had been mirrored by Chinese President Xi Jinping, with many commentators expecting a resolution eventually.

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
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Celgene Corp  
Continental Resources Inc14.25 USD1.50
Marathon Oil Corp6.03 USD2.38
Nintendo Co Ltd44,100.00 JPY-1.12
Qurate Retail Inc Class A8.00 USD2.63
Santos Ltd5.62 AUD2.93
Zalando SE58.08 EUR-2.32

About Author

David Brenchley

David Brenchley  is a Reporter for Morningstar.co.uk

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