Investing.com – Asian equities futures declined on Wednesday in Asia as political turmoil in Italy hurt investor’s risk appetite.
Overnight, the S&P 500 lost 1.1% and the Dow Jones Industrial Average fell 1.6%, while the Nasdaq Composite slipped 0.5%.
Investors fear another Italian election, which looks likely to take place as soon as August, might serve as a de facto referendum on the country’s membership in the European Union.
Stocks are set to open lower from Tokyo to Sydney after European shares recorded their biggest drop in two months.
In Asia, the U.S said in a statement on Tuesday it would consider imposing tariffs on $50 billion of imports from China unless Beijing addresses concerns of theft of American intellectual property, adding that it would also place more restrictions on Chinese companies’ investments in the U.S.
Details of the investment and export controls will be announced by June 30 and the final tariff list will be published by June 15.
The news came before Commerce Secretary Wilbur Ross’s planned visit to Beijing this week.
Meanwhile, White House spokeswoman Sarah Sanders said on Tuesday that the U.S. is prepared for the planned meeting between President Donald Trump and North Korean leader Kim Jong Un to take place on June 12 in Singapore.
“The president thinks ongoing discussions are going very well ... and that the meetings taking place over this week ... certainly are signs of progress,” Sanders told reporters.
“We’re going to be prepared if it takes place on June 12. We’ll certainly be prepared if it for some reason takes place at a later date - we’ll be prepared for that as well.”
Her comments came after President Donald Trump appeared to confirm his summit with North Korean leader Kim Jong-un is now back on track.
“Our United States team has arrived in North Korea to make arrangements for the Summit between Kim Jong Un and myself,” Trump said in a tweet on Sunday afternoon.
“I truly believe North Korea has brilliant potential and will be a great economic and financial Nation one day,” Trump added. “Kim Jong Un agrees with me on this. It will happen!”