China markets dip after tariffs as PBOC's yuan fix sends stability signal

Trump uncertainty reigns as country emerges from weeklong holiday

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Dancers perform in Shanghai's financial district on Feb. 5. Trade tensions between the U.S. and China overshadowed mainland markets' reopening from a Lunar New Year break. © Reuters

ECHO WONG and LISA KIM

HONG KONG/TOKYO -- China's key stock indexes opened higher but soon turned negative on the first trading day following the Lunar New Year break, with a nascent U.S.-China tariff battle likely spelling more volatility to come.

The SSE Composite Index, which measures the Shanghai market, closed 0.65% lower after starting off 0.6% higher. The CSI 300, which tracks major stocks listed in Shanghai and Shenzhen, dropped 0.58%.

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