- Analytics
- News and Tools
- Market News
- U.S.-China trade war extends – TD Securities
U.S.-China trade war extends – TD Securities
Analysts at TD Securities note that the U.S. President Donald Trump has announced that the U.S. will impose 10% tariffs on the remaining $325bn of Chinese imports that are not yet subjected to tariffs.
- “Given that these imports are more consumer-oriented, we expect a larger impact on US growth and inflation, compared to previous tariff hikes.
- The rates market reacted sharply, pricing in 50bp of rate cuts in 2019 (up from 35bp yesterday). We think that the move is reasonable, especially with Powell referencing trade uncertainty as a key driver of rate cuts.
- We believe that China is likely to react, as in the two previous episodes of tariff imposition, adjusting the REER lower in order to offset the impact of tariffs. This will likely place upward pressure on USD/Asia as China-linked, trade-sensitive economies accommodate fundamental pressure on FX.”
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
