The US has announced it will press ahead with a new round of $200 bn of trade tariffs aimed at Chinese goods, causing Beijing to threaten further retaliation. The tariffs would hit a wide range of industries, ranging from automotive components to food ingredients which are said to be facing additional levies of 10 per cent. Chinese equity markets fell between 1.5 and 2 per cent overnight, with European markets opening into losses of around 1 per cent. US futures are pointing to losses of around 1 per cent for US markets at the opening bell. Meanwhile, government debt is being bought as markets turn to safer assets amidst the heightened trade tensions. The US dollar, which has been strengthening throughout the escalating trade tensions, has made some gains against key currency peers today and is up between 0.1 and 0.3 per cent.