Markets opened lower on Monday as investors worried about the U.S.-China trade dispute and reflected on the one-year anniversary of the Lehman Brothers collapse. The tariffs came on the heels of a union complaint that a surge of imports of the Chinese tires were taking away American jobs.
Art Cashin, director of floor operations at UBS Financial Services, offered CNBC his insights.
“It is a bad move and it is the beginning of a minor tariff war,” Cashin told CNBC. “On the other side of it, some people think it’s really an attention getter. A shot across the bow to get the Chinese to sit down for a broader trade talks and to see if they can work out some possible deal."
Additionally, Cashin said the markets were also affected by Japan indicating that things "aren’t going as swimmingly” with the new government.
“There is enough skepticism around,” said Cashin, emphasizing the Spring and Summer of 1987 when traders kept shorting into the rally because they were skeptical.
"The old veteran traders got run over because they were selling at the strength and the market kept going until it stopped," he said.
No immediate information was available for Cashin or his firm.
CNBC's Companies in the News:
- Sprint 'Unaware' of Deutsche Telekom Takeover Talks
- Drugmaker Eli Lilly to Cut Jobs, Reorganize
- JAL Shares Jump on American Airlines, Delta Talks