Wall Street immediately pulled back on the news, with the Dow Jones Industrial Average falling from a 300-point gain to a decline of almost 200 points. The price of crude oil tumbled by 8 percent on concern over the global fallout of Trump’s latest salvo. Apple, which has a large exposure to China, saw its stock fall 2 percent on the news; and the yield on the 10-year Treasury note fell to its lowest level since 2016.

U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin just returned from trade talks in Shanghai, where little progress appeared to have been made. The negotiations reportedly ended early. A new meeting had been set up for September, the White House said earlier this week.