President Trump approves a phase one trade agreement with China.

Joseph Corr

2020-01-01 13:39:00 Wed ET

President Trump approves a phase one trade agreement with China. This approval averts the introduction of new tariffs on Chinese imports. In return, China seeks to purchase $40 billion to $50 billion U.S. agribusiness exports to better balance the current Sino-American terms of trade. The Trump administration expects to phase out gradual tariff reductions for Chinese imports.

Meanwhile, the Trump administration reduces tariffs on $120 billion to $160 billion Chinese imports from 15% to 7.5%, but the separate 25% levies would remain on $250 billion Chinese imports. On the bright side, the current trade accord proves to be mutually beneficial to China and America, so the key U.S. and Chinese stock market indices surge in response to this great deal. The greenback depreciates a bit against a basket of U.S. fair-trade partners in response to the Sino-U.S. bilateral phase-one trade deal.

On the dark side, Chinese 5G technology now crystallizes as a clear challenger to the U.S. business model. A bifurcation of global supply chains has thus gone from a new niche to a mainstream consensus view. It is hence important for the Trump administration to strike a delicate balance between fair trade details and high-tech advances.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More
Clayton Christensen defines the core dilemma of corporate innovation with sustainable and disruptive advances.
Daisy Harvey

2020-04-17 07:23:00 Friday ET

Clayton Christensen defines the core dilemma of corporate innovation with sustainable and disruptive advances.

Clayton Christensen defines and delves into the core dilemma of corporate innovation with sustainable and disruptive advances. Clayton Christensen (2000)

+See More
Buffett discusses Berkshire's cash ambition, its reinsurance business, and his succession plan.
Becky Berkman

2018-02-23 09:35:00 Friday ET

Buffett discusses Berkshire's cash ambition, its reinsurance business, and his succession plan.

Warren Buffett releases his annual letter to Berkshire Hathaway shareholders as of February 2018. Buffett discusses Berkshire's core cash ambition, its

+See More
President Trump criticizes the WTO and proposes indexing capital gains taxes to inflation for U.S. investors.
Charlene Vos

2018-08-29 10:37:00 Wednesday ET

President Trump criticizes the WTO and proposes indexing capital gains taxes to inflation for U.S. investors.

In an exclusive interview with Bloomberg, President Trump criticizes the World Trade Organization (WTO), proposes indexing capital gains taxes to inflation

+See More
Treasury bond yield curve inversion often signals the next economic recession in America.
Monica McNeil

2018-10-11 08:44:00 Thursday ET

Treasury bond yield curve inversion often signals the next economic recession in America.

Treasury bond yield curve inversion often signals the next economic recession in America. In fact, U.S. bond yield curve inversion correctly predicts the da

+See More
Leon Cooperman points out that the current Trump stock market rally now approaches normalization.
Amy Hamilton

2017-10-27 06:35:00 Friday ET

Leon Cooperman points out that the current Trump stock market rally now approaches normalization.

Leon Cooperman, Chairman and CEO of Omega Advisors, points out that the current Trump stock market rally now approaches normalization. The U.S. stock market

+See More
AYA Analytica podcast provides fresh insights into the latest stock market issues, economic trends, and investment portfolio strategies.
Daphne Basel

2019-05-30 16:44:00 Thursday ET

AYA Analytica podcast provides fresh insights into the latest stock market issues, economic trends, and investment portfolio strategies.

AYA Analytica finbuzz podcast channel on YouTube May 2019 In this podcast, we discuss several topical issues as of May 2019: (1) Our proprietary alp

+See More