Reports that Panasonic, Arm, and others cut ties with Huawei are fanning fears of a lengthy trade war. US stocks are tracking global markets lower.
Markets"remain on edge," said Jameel Ahmad, global head of currency strategy and market research at FXTM."The likelier base case for investors is that the US-China tensions will persist, which is a far cry from the prospects of a formalized US-China trade deal that anchored market expectations up until April."
The White House targeted Huawei to stop the flow of American technology to Chinese companies, given their close ties to the state and laws requiring them to disclose information if requested. Shares in several Chinese tech firms including Hangzhou Hikvision, Zhejiang Dahua, and Iflytek have slumped on reports the US could add them to the list of firms with which US companies require a license to trade. However, the Commerce Department
allowing American companies to sell components to Huawei if they're used to support existing devices and equipment.
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