President Donald Trump said Friday that there could be 'pain' ahead in the markets as the U.S. and China accelerate toward an all-out trade war, but insisted things will settle down in the long term. 

Trump and his counterpart, Xi Jinping, have played a high-stakes game of tit-for-tat this week, trading threats of $50 billion import tariff packages. Trump played the latest card Thursday night with a $100 billion addition.

Stock indexes are roller-coastering, with futures tanking each time Beijing or Washington lands a new economic body blow.  Yet Friday afternoon the markets had stabilized to the level where they had opened Monday morning.

In an interview on WABC radio in New York that was taped Thursday night and aired Friday morning, Trump allowed that more chaos lies ahead.