US and Hong Kong stock markets tumbled amid tariff worries

For the United States, the technology-heavy Nasdaq led the fall, down 1.6% to end at 7,050.29.

The Dow Jones dropped by 1% to 24,442.9, while the S&P 500 fell about 0.7% to 7,050.29.

The losses accelerated following a report by Bloomberg that the US is preparing tariffs on additional Chinese goods, pending a potential meeting between leaders of the two countries.

Hong Kong shares edged lower on Tuesday as investors weighed the possibility of the U.S. imposing import tariffs on all shipments from China.

The Hang Seng Index slipped 0.2% to 24,769.77 by noon after changing direction at least six times. BOC Hong Kong Holdings slid 4.4%, leading percentage losses on the gauge, after the lender reported a 4% decrease in third-quarter operating profit.

Hong Kong's main equity gauge had fallen as much as 1.1% earlier after U.S. equity indexes extended losses on Monday amid fresh concerns that Sino-American trade tensions were set to escalate. The U.S. is preparing to announce tariffs on all Chinese imports by early December if talks between presidents Donald Trump and Xi Jinping fail to ease the trade war, Bloomberg reported Monday, citing three people familiar with the matter.

The US has already imposed tariffs on billions of dollars worth of Chinese goods. China has responded by implementing tariffs on US imports.

If the US moves ahead with more, it would mean higher import taxes for effectively all of the goods the US imports from China - more than $500bn in trade last year.

The moves, which the US says are a response to alleged intellectual property theft by China, have prompted widespread concerns in the business community.

Manufacturers, retailers, and technology firms - many of whom rely on Chinese suppliers - are also exposed.

US President Donald Trump has been threatening the additional tariffs for months, but the renewed talk follows several weeks of market declines.

Stocks have been hit by investor concerns that US company profits are at or near their peak, as firms face slowing global growth, trade tensions, and rising costs - including higher interest rates - in the months ahead.

Washington and Beijing have already imposed three rounds of punitive trade tariffs on goods from each other in a monthslong trade spat weighed on global risk appetite.