Business live: Asian markets slip on jitters over downside of tariffs
Trump said there was 'no reason in waiting' because of a lack of tangible action by President Putin. The sanctions would impose 100 per cent tariffs on buyers of Russian oil, with the biggest customers being India and China.
The spot price for Brent crude rose $1.26 to $70.10 a barrel on concerns about global crude supplies. Trump has been unable to fulfil his promise to resolve the war quickly.
Asian stocks slipped as relief that the US-EU trade deal had avoided a trade war gave way to concerns about the damage tariffs could cause to growth and inflation.
The 15 per cent levy on Europe compares with tariffs of 1 per cent to 2 per cent before President Trump took office. German chancellor Friedrich Merz, who had said the agreement had 'succeeded in averting a trade conflict', later said it would cause 'considerable damage' to his country, Europe and the US.
Economists at JP Morgan wrote: 'While the worst case scenario was averted, the implied EU tariff increase from 1 per cent in January is a significant tax increase on EU exports. This is a very big shock that unwinds a century of US leadership in global free trade.'
Markets in Japan, China, Australia and India were lower, with only South Korea's Kospi higher. On Wall Street, the S&P 500 and Nasdaq rose to record highs as investors looked beyond the trade deal. The Dow Jones industrial average finished a fraction lower.
Equity futures, however, are pointing to the markets in Europe edging higher when trading begins.
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