This content was published on

October 14, 2025 – 07:01

(Bloomberg) — US equity-index futures fell and Asian shares extended losses amid a fresh wave of trade-war-related headlines. The yen strengthened, while cryptocurrencies dropped further.

Contracts for the S&P 500 fell 0.5% and those for the Nasdaq 100 index tumbled 0.6% after China hit back at the US on shipping by imposing curbs on American units of Hanwha Ocean Co. Asian shares fell 1.1% with Japan’s Nikkei 225 index down 2.8%. Chinese shares erased their earlier gains to trade 0.1% lower. Futures indicated a weaker open for European stocks.

The yen flipped its earlier losses and strengthened against the dollar. Silver hit an all-time high above $52.50, and gold set a new peak. Treasury yields trimmed their gains with the yield on the 10-year at 4.04%.

The latest headlines have raised concerns that the trade dispute may flare up again, jeopardizing the stock rally from April’s lows. US stocks had clawed back part of Friday’s losses — after tensions between Washington and Beijing rattled investors — signaling a renewed willingness to buy the dip as a resilient economy and Federal Reserve easing outweighed fears of an AI bubble.

“Markets are shifting back into a risk-off mode after last week’s sharp swings,” said Billy Leung, an investment strategist at Global X Management. “The weakness looks more like fast-money repositioning than a fundamental turn as momentum is thin.”

Beneath the surface of recent market swings, investors are positioning for what some call the “debasement trade” — a longer-term repricing of assets as they seek protection from the risks posed by runaway budget deficits.

China imposed curbs on five US units of Hanwha Ocean in response to American probes against Chinese maritime, logistics, and shipbuilding industries, according to a statement from Chinese ministry of commerce.

The company’s shares fell over 3% in South Korean trading.

The announcements reignited concerns that the trade war might flare up again after tensions between Washington and Beijing sparked a selloff in stocks on Friday.

Those worries had eased over the weekend after President Donald Trump signaled an openness to a deal with China. His administration also toned down its rhetoric after Trump threatened tariffs of 100% on China in response to Chinese export controls.

“Risk sentiment remains fragile as cracks resurface across both equity and crypto markets,” said Hebe Chen, a market analyst at Vantage Markets. “The relentless record-breaking run in precious metals sends a clear message — investors are buckling up for the next storm.”

China and the US have been maintaining communication within the framework of the economic and trade consultation mechanism, and held working-level talks on Monday, the Chinese ministry of commerce said.

Earlier, US Treasury Secretary Scott Bessent said he still expects Presidents Donald Trump and Xi Jinping will meet. However, he warned that all options are open for retaliating against China’s move to tighten exports of rare earths. China had urged further negotiations to resolve outstanding issues.

On Tuesday, China reiterated that the export control measures on rare earth and other related items do not prohibit exports, and applications that meet the requirements will continue to be approved.

Corporate News:

Alphabet Inc.’s Google is planning to invest more than $10 billion in southern India to set up a 1-gigawatt data center, marking one of its biggest bets in a market that’s key to its global expansion plans. Rio Tinto Group’s third-quarter copper output jumped 10% from the year before, as the world’s second-biggest miner seeks to keep ramping up production of the metal that’s key to the energy transition. Apple Inc. is bringing its superthin iPhone Air to China after a pause that allowed local carriers to prepare for the eSIM-only device. Preorders start Oct. 17 after domestic carriers including China Mobile Ltd. won approval to support that feature. LG Electronics India Ltd. soared in its Mumbai trading debut after investors flocked to its initial public offering and made it the country’s most oversubscribed billion-dollar deal of its kind in 17 years. Some of the main moves in markets:

Stocks

S&P 500 futures fell 0.3% as of 2 p.m. Tokyo time Japan’s Topix fell 2.3% Australia’s S&P/ASX 200 rose 0.2% Hong Kong’s Hang Seng fell 0.8% The Shanghai Composite was little changed Euro Stoxx 50 futures fell 0.2% Currencies

The Bloomberg Dollar Spot Index was little changed The euro rose 0.2% to $1.1590 The Japanese yen rose 0.3% to 151.86 per dollar The offshore yuan was little changed at 7.1417 per dollar Cryptocurrencies

Bitcoin fell 2.3% to $113,166.44 Ether fell 4.3% to $4,106.95 Bonds

The yield on 10-year Treasuries was little changed at 4.04% Japan’s 10-year yield declined three basis points to 1.660% Australia’s 10-year yield declined four basis points to 4.26% Commodities

West Texas Intermediate crude was little changed Spot gold rose 1.4% to $4,167.94 an ounce This story was produced with the assistance of Bloomberg Automation.

–With assistance from Winnie Hsu, Carmeli Argana and Abhishek Vishnoi.

©2025 Bloomberg L.P.