WSJ report
USD/JPY drops quickly to 111.00 on the headline. The story notes delaying M&A, ramping up inspections at the border, and holding up licences.
"China doesn't import enough from the U.S. to match Washington dollar for dollar as it has in previous rounds, so Beijing is reviewing plans to hit back in other ways, said Chinese officials familiar with the plans," the WSJ reports.
They cited a Commerce Ministry official who said China "has no choice but to take necessary countermeasures".
They add this: "Behind the scenes, however, officials described the mood as more cautious," with officials weigh how far to push it without hurting the domestic economy.
The headline slammed USD/JPY but the last bit of the story is important and it's why it quickly recovered most of the declines.
