Tag: yuan devaluation
In a recent report, the IMF said that the trade war is hurting China. President Trump has echoed similar views several times.
The markets were just grappling with the news of increasing trade tensions between the US and China when Trump stepped in to increase the pressure.
US automakers have been hit hard lately. However, President Trump’s policies and the trade war had a greater impact on automakers than the Fed's policies.
On Wednesday, Reuters reported that Tesla (TSLA) might raise prices in China. The company might raise prices in September due to "yuan-related uncertainty."
Today, bond yields are sinking and stock markets are tanking as markets become fearful of an upcoming recession.
Goldman Sachs no longer believes that a trade deal between the US and China is possible before the 2020 US presidential election.
Gold prices received a boost after President Trump’s tweet that 10% duties would be levied on $300 billion of Chinese goods starting on September 1.