The US and China have extended their trade truce for another 90 days, just hours before the world's two biggest economies were set to raise tariffs on imports of each other's goods. On Monday, US President Donald Trump signed an executive order to keep the pause in place until 10 November, while Beijing also announced an extension.

President Donald Trump extended a trade truce with China for another 90 days, at least delaying once again a dangerous showdown between the world’s two biggest economies.

China’s economy suffered a sharp slowdown last month as Donald Trump’s tariff blitz fuelled uncertainty among households and businesses. Retail sales missed economists’ expectations while factory output growth slumped to an eight-month low in July, according to Beijing’s National Bureau of Statistics.