China orders US to shut consulate in city of Chengdu

Anil Panchal FXStreet

While confirming the previous signals to retaliate the US orders to leave Houston, China's foreign ministry said it told the U.S. embassy on Friday morning to close its consulate in the southwestern city of Chengdu.

Key quotes

The Ministry of Foreign Affairs of China informed the U.S. Embassy in China of its decision to withdraw its consent for the establishment and operation of the U.S. Consulate General in Chengdu.

The Ministry also made specific requirements on the ceasing of all operations and events by the Consulate General.

Market reaction

Given the news negative impact on the risk-tone sentiment, S&P 500 Futures extends early-day losses while declining to 3,216, down 0.35% on a day. Market players may now await the US reaction, as well as preliminary readings of PMIs for July, for near-term trade direction.

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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