Wall Street nervous over trade spat

Money managers say escalation could pose risk to global markets

Wall Street and global money managers have voiced concerns over the escalating trade fight between the United States and China, fearing that the threatened tit-for-tat moves could shatter business confidence and investors' nerve and pose a major risk to global financial markets.

Morgan Stanley economists warned that the moves, while still seen as aiming toward an eventual negotiation, could increase risks of a "protectionist push" and force the markets to reflect elevated uncertainty.