Carnage Continues: US Futures Crash At Re-Open After Huawei CFO Arrest
Having taken a day off to watch Bush's funeral - drifting modestly higher before the early close - reports of the arrest of Huawei's CFO at the request of US authorities has sparked carnage at the re-open on extremely heavy volume…
As we detailed earlier, mere hours after Chinese officials finally affirmed President Trump's description of Saturday's trade 'truce' - this after fears that the true nature of the agreement might have been "lost in translation" helped trigger the worst one-day market selloff since October - the DOJ has gone ahead and kicked the hornet's nest, seriously jeopardizing the prospects for a prolonged trade detente between the world's two biggest economies.
"Wanzhou Meng was arrested in Vancouver on December 1. She is sought for extradition by the United States, and a bail hearing has been set for Friday," Justice department Ian McLeod said in a statement to The Globe and Mail. "As there is a publication ban in effect, we cannot provide any further detail at this time. The ban was sought by Ms. Meng.
For now there is no reaction in Yuan or Treasuries.
For now it appears that the trade truce is back to square one zero, leaving Trump with a choice: releasing Meng or watching the any last hopes of Christmas rally fade into the distance.
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Cancel the Santa Clause rally…not this year.
Will keep eye on this developing story for Asian mkts.
I enjoyed the break from ours but the world does not stop or sleep because we do.
https://www.zerohedge.com/news/2018-12-05/carnage-continues-us-futures-crash-re-open-after-huawei-cfo-arrest