U.S., China trade tensions spill into financial markets

The U.S. and China were forging ahead Monday with plans for a new round of trade talks, as the Trump administration’s top negotiator renewed the president’s threat to raise tariffs across-the-board on Chinese imports and voiced anger that Beijing was trying to back out of a key commitment.

The tensions staggered world financial markets, especially in China, where stocks fell more than 5% in a single day. The U.S. markets fared much better but were also down Monday.

U.S. Trade Representative Robert E. Lighthizer said late Monday that the next...