NEW YORK (Reuters) – Stocks around the world tumbled on Monday and oil prices slumped after U.S. President Donald Trump threatened to raise tariffs on China, triggering an investor exodus from risky assets.

Traders work at Frankfurt’s stock exchange in Frankfurt, Germany, February 6, 2018. Picture taken with a fisheye lens. REUTERS/Ralph Orlowski

Trump said on Sunday he would raise tariffs on $200 billion worth of Chinese goods this week and target hundreds of billions more soon. On Friday, he had cited good progress in trade talks and praised his relationship with Chinese President Xi Jinping.

U.S. Treasury yields held at lower levels as investors favored the safety of low-risk government bonds over stocks and other risky assets due to the increased trade tension between China