China demands Japan to stop political manipulation on China's internal affairs, a Chinese Foreign Ministry spokesman said on Tuesday, in response to the release of a joint statement involving China's foreign policy issued by the U.S. and Japan after their "2+2" talks in Tokyo a day earlier.
"In disregard of China's grave concerns, Japan and the U.S. have blatantly interfered in China's internal affairs on issues related to Taiwan, Hong Kong, Xinjiang and Xizang, smeared and attacked China on maritime issues, manipulated group politics with a Cold War mentality, and stoked bloc confrontation, seriously undermining regional peace and stability and the security interests of other countries," Lin said at a press conference in Beijing.
"China is firmly opposed to this and has made serious démarches to Japan through diplomatic channels, demanding the Japanese side to establish an objective and rational understanding of China, stop political manipulation on China's internal affairs, stop stirring up trouble and making provocations on maritime issues, stop drawing forces outside the region into stoking division and confrontation in the region, earnestly follow the path of peaceful development, and win the trust of its Asian neighbors and the rest of the international community with concrete actions," Lin said.
China demands Japan to stop political manipulation on China's internal affairs
China demands Japan to stop political manipulation on China's internal affairs
The Trump administration's decision to impose "reciprocal tariffs" on all trade partners has sparked panic among investors, sending all three major U.S. stock indices into sharp declines on Thursday, with European stock markets also seeing significant losses, while the U.S. Dollar Index dropped substantially.
As of the close on Thursday, the Dow Jones Industrial Average plunged 1,679.39 points to 40,545.93, down 3.98 percent, marking its largest single-day decline since June 2020.
The S and P 500 lost 274.45 points to settle at 5,396.52 points, a 4.84 percent decrease, its biggest drop since June 2020. Meanwhile, the Nasdaq Composite fell 1,050.44 points to 16,550.61 points, down 5.97 percent, marking its largest single-day fall since March 2020.
The sell-off was widespread, with key individual stocks also taking a hit. Nike saw a steep 14 percent drop in its share price, while Apple fell by 9 percent. Bank stocks were under heavy pressure, with Western Alliance Bank dropping nearly 16 percent, Citigroup losing about 12 percent, and Bank of America slipping 11 percent.
In the small-cap segment, the Russell 2000 Index saw a notable decline of more than 6 percent. Compared to its peak in November of last year, the index has now dropped over 20 percent, entering a technical bear market.
This marks a stark contrast to the surge seen after the U.S. presidential election, when small-cap stocks were seen as beneficiaries of deregulation, tax cuts, and tariffs.
UBS analysts warned of the potential long-term economic consequences of the tariffs, suggesting that if they persist, inflation could rise sharply, severely impacting the macroeconomy, and potentially leading to significant deterioration in both U.S. and global economic growth and inflation over the next year.
The firm's U.S. economic team estimates that real GDP could decline by 1.5 to 2 percentage points in 2025, with inflation possibly reaching 5 percent.
Meanwhile, European markets followed suit, with all three major stock indices experiencing losses. The U.K.'s FTSE 100 Index closed at 8,474.74 points, down 133.74 points, or 1.55 percent, from the previous trading day. The French CAC40 dropped by 259.85 points to 7,598.98 points, a 3.31 percent decrease. In Germany, the DAX Index closed at 21,717.39 points, down 673.45 points, a 3.01 percent drop.
The U.S. Dollar Index, which tracks the greenback against six key currencies, including the euro and the British pound, dropped 1.67 percent to 102.073, while the euro and pound both strengthened as investors sought safer assets amid rising market volatility.
US tariff moves trigger market panic, major indices suffer sharp losses
