U.S. stock futures and the dollar faced a downturn on Tuesday. Investors watched closely as Hong Kong shares retreated from two-month highs. This movement came after the U.S. and China engaged in an escalating tariff battle. Analysts warn that this ongoing conflict could lead to significant disruptions in global trade. The market now grapples with the possibility of a widespread trade conflict between these economic giants. Businesses and traders alike brace for further impacts as tensions rise between the two nations. Understanding these dynamics is critical for investors looking to navigate these turbulent waters. Keeping a close eye on future policy changes and trade negotiations will be essential for making informed decisions in this challenging environment.