Many people in China cheered the meeting Thursday between President Xi Jinping and U.S. President Donald Trump, after months of escalating bilateral tensions. Every time the two leaders meet, it helps ease tensions and creates a "positive atmosphere," Alex Hongcai Xu, chair of Beijing Honglve Consulting, said in Mandarin, translated by CNBC. "This atmosphere is beneficial for negotiations." "Each side lowering tariffs to below 10% would benefit capital flows and cooperation," Xu said. He noted that China can likely buy more U.S. soybeans and U.S.-made Boeing airplanes. Trump said Thursday...
Federal Reserve officials flagged the risk of more sustained inflationary pressures from tariffs when they agreed to keep interest rates steady at their meeting last month. "A majority of participants noted the potential for inflationary impacts arising from a variety of factors to be more sustained than they had projected," said the minutes of the March 18-19 policy meeting, released Wednesday. Since that meeting, President Trump has imposed broad and abrupt tariff increases that initially exceeded the high end estimates of most private-sector economists and Fed officials. Trump said...
Many companies had been steadily reducing their reliance on China as a manufacturing hub since President Donald Trump's first term, hoping to blunt the impact of punitive levies from the United States. Then his latest "reciprocal" tariffs came along. Trump's move to impose tariffs on goods on a broader swathe of countries is now putting those diversification plans in disarray and leaving companies scrambling to decide where and how their goods are produced. Steve Greenspon, CEO of Illinois-based houseware company Honey-Can-Do International, started moving more of his production from China...
The Indonesian rupiah touched an all-time low of around 16,950 per USD in April as the U.S. readied 104% tariffs on Chinese goods, escalating tensions between the world's two largest economies. Meanwhile, Indonesia faces a 32% tariff from the U.S. President Prabowo Subianto has instructed his cabinet to simplify trade rules and ease non-tariff barriers while assessing the impact on key exports such as textiles, electronics, footwear, and palm oil. Adding to the pressure, Indonesia's current account remained in deficit for the seventh quarter in Q4 of 2024, underscoring structural trade...
Markets may still be underestimating the risk of a full-blown U.S. recession following the sharp escalation in tariffs on Chinese goods, Goldman Sachs analyst said in a note. In the wake of the tariff announcement, U.S. markets experienced one of the largest two-day growth downgrades in decades, with implied GDP growth expectations dropping by 130 basis points—on par with shocks seen during COVID, the global financial crisis, and Black Monday in 1987, analysts said. Despite the massive selloff on Wall Street on April 3 and April 4, Goldman Sachs noted that markets have yet to fully price...
The United States said Tuesday that 104% tariffs on Chinese imports would go into effect shortly after midnight, even as the Trump administration moved quickly to begin talks with other trading partners targeted by President Donald Trump's sweeping tariff plans. U.S. stocks slumped on the news. Global markets had earlier posted gains on hopes that Trump might be willing to negotiate a series of country- and product-specific trade barriers he has built around the world's largest consumer market. The administration has scheduled talks with South Korea and Japan, two close allies and major...
Asia-Pacific markets traded higher, tracking Wall Street gains overnight.
Japan's benchmark Nikkei 225 rose 0.41% after hitting a fresh record high on Thursday, while the Topix added 0.61%. South...
Both the STOXX 50 and STOXX 600 hovered around the flatline on Friday, as investors adopted a cautious stance ahead of further developments in trade talks between US President Trump and Chinese...
US President Donald Trump said Thursday that he had agreed with President Xi Jinping to cut tariffs on China in exchange for Beijing cracking down on illegal fentanyl trade, resuming purchases of...