TOKYO, Dec 6 2018 : U.S. stock futures tumbled today and Asian markets followed after Canadian authorities arrested a top executive of Chinese tech giant Huawei Technologies, fanning fears of further tensions between China and the United States.
S&P500 e-mini futures fell almost 2 percent at one point in thin Asian morning trade and were last were down 0.7 percent.
The Canadian Justice Department said Meng Wanzhou, deputy chair of Huawei, was arrested early this month and that she was sought for extradition by the United States.
It also came as an inversion in the U.S. yield curve has stoked global investor worries of a possible U.S. recession.
U.S. Treasuries futures were also almost flat.
The benchmark Treasury 10-year yield fell to its lowest point since mid-September on Tuesday while the five-year yield dropped below the two-year yield, causing a so-called inversion in the yield curve.
Because an inverted curve has often tended to precede a recession, investors were spooked by that.
U.S. markets were closed yesterday to mark the death of former President George H.W. Bush. – Reuters