The US President Donald Trump has explained that the phase 1 deal means very little and when asked about the response to Chinese sanctions, he said that the US has already responded.
This follows the news that China has imposed sanctions on 11 American lawmakers and foreign policy experts in response to similar US measures on Chinese and Hong Kong officials, as tensions between the two powers escalate.
Meanwhile, the US Treasury Secretary Steve Mnuchin has stated that as of the end of next year, Chinese companies that do not comply with accounting standards will be delisted from US stock exchanges.
Market implications
Gains for global stocks were held back on Monday as escalating tension between the two nations weighed against hopes of further economic stimulus.
Wall Street Close: US benchmarks mixed as investors move into value stocks
