US-China Trade War Escalates with New Tariffs

The US-China trade conflict has escalated, with the US implementing a 10% tariff on all Chinese imports, leading to China's retaliatory tariffs of 10-15% on US goods, effective February 10. This intensification of trade tensions is causing instability in the cryptocurrency market, as Bitcoin and other risk assets face renewed selling pressure, reflecting weakened investment sentiment. Global markets are also affected, with US stock futures fluctuating and the dollar experiencing volatility amid fears of a broader trade war. While the US delayed tariffs on Mexico and Canada, which temporarily eased some market pressures, uncertainties surrounding trade negotiations remain high. Economists warn that ongoing developments in US trade policy will continue to create significant risks for global markets. Additionally, safe-haven assets like gold have surged in response to the increased market volatility and risk aversion.