Global markets traded lower on Friday following US President Donald Trump’s move to sign two executive orders banning transactions between the US and TikTok owner Bytedance and WeChat owner Tencent. The executive order notes that any US entity that transacts with the two companies will be subject to sanctions, starting 45 days after the publication of the executive order.
At market open on Friday, major US stock fell while markets across Asia fell with the Shanghai Composite falling by more than 2% at 7:30 am CET while the Shenzhen Composite declined by more than 3%. Hong Kong Stock market index Hang Seng plunged 2.11% while Japan’s Nikkei 225 plunged by nearly 1%.
In a statement, TikTok said it was ‘shocked by the Executive Order”, arguing that it was issued without any due process.
China Foreign Ministry has also condemned the order, saying it stands very strongly against Trump’s ban of the Chinese social media apps.
Uber Technologies reported its earnings for the second quarter ended June 2020 with revenue falling by 29% to $ 2.24 Billion. Total ride bookings for the period fell 75% with income from Uber Eats growing to $1.2 Billion.