The start of another chaotic trading day on Wall Street saw stock futures paring most of an earlier slide as bonds tumbled, with China’s retaliation to US tariffs indicating no relief to a widening trade war.

S&P 500 contracts dropped 0.7%, indicating the US equity benchmark will push closer to the threshold of a bear market. The exodus from longer-dated Treasuries accelerated, with 30-year yields briefly topping 5%. A fear gauge for US investment-grade credit jumped to its highest since May 2023. Gold rose alongside the yen and the Swiss franc.