It seems Bloomberg's sources are 'fake' as Larry Kudlow confirms to CNBC that the President did not ask the cabinet to draw up any trade deal with China and that there has been no responses from China on trade.

"...there is no massive movement between US and China on trade..."

Additionally, Kudlow confirmed that more tariffs on China are possible and that he is "not as optimistic" on a deal as he once was.

Stocks extended losses on the news...

Erasing all of Bloomberg headlines gains...

And Yuan is dropping back further...