Trump awaits China response before 104% tariffs hit

Wall Street rebounds sharply on hopes of tariff talks; Europe gains

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US President Donald Trump said on Tuesday he is waiting to hear from China before duties of more than 100 per cent might be opened to last-minute negotiations with the world's No. 2 economic power.

Global markets steadied after days of carnage prompted by Trump's sweeping levies, which have raised fears of recession and upended a global trade order that has been nearly in place for decades. US stock indexes opened sharply higher after a bruising selloff that has wiped out trillions of dollars since last week.

Trump has already implemented a 10 per cent tariff on almost all imports to world's largest consumer market, and targeted trading partners are due to take effect on Wednesday.

China has refused to bow to what it called "blackmail" and vowed to "fight to the end" after Trump threatened to ratchet up tariffs to 104 per cent in response to China's decision to match reciprocal duties. Trump indicated a resolution might be possible.

"China also wants to make a deal, badly, but they don't know how to get it started. We are waiting for their call. It will happen!" he said on social media.