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LONDON, April 4 (Reuters) - U.S. stock futures and Treasury yields fell on Wednesday after China announced additional tariffs on $50 billion of U.S. goods, a decision that also knocked the Chinese yuan lower.
China will impose additional tariffs of 25 percent on 106 U.S. goods including soybeans, autos, chemicals, some types of aircraft and corn products, among other agricultural goods, the finance ministry said on Wednesday.
U.S. stocks futures extended their fall: Nasdaq futures were down 2 percent, S&P 500 futures fell 1.4 percent and Dow Jones futures tumbled down 1.7 percent.
European stocks also extended losses, with the pan-European STOXX 600 index hitting a session low, last down 0.8 percent. Germany’s exporter-heavy DAX index fell 1.3 percent.
The Chinese yuan meanwhile suffered its biggest daily fall versus the dollar in two weeks after the measures were announced. It fell 0.4 percent to 6.3015 per dollar.
But trade war fears boosted demand for top-rated U.S. and European government bonds with the U.S. 10-year Treasury yield last down 2.5 basis points on the day at 2.76 percent . (Reporting by the London Markets Team Editing by Tommy Wilkes)