Asian stock markets nervous for trade talks between China and the USA
Asian stock markets nervous for trade talks between China and the USA
The Asian stock exchanges show a mixed picture in the run-up to the new negotiations to be conducted between the United States of America and China on the trade relationship between the two nations. The not so encouraging words from Trump make investors doubt about a good outcome and fear that China will leave the negotiating table 'disadvantaged'.
But the Asian investors are brave, most of the main indexes are still green, but it is clear that they are adopting a wait-and-see attitude. Full of excitement the new talks between China and the United States of America on their trade relationship are being looked into.
- Previously, American President Donald Trump imposed additional taxes on imports of Chinese goods because he thinks the trade balance between the two countries is not in balance. In response to the increased import duties, China also introduced additional taxes on American goods.
Doubt
- According to strategists, it is a challenging task to ensure that the negotiations for both countries are successful. Certainly because of Trump's attitude towards the deficit on the trade balance. The US president said that China is 'very spoiled' and that he doubts whether an agreement will be reached. China will have to pay 200 billion dollars in commercial trafficking to make the talks a success. That is about the difference in trade volume.
We just can't do that anymore
- The tone of Donald Trump, and the words he chooses, are not particularly encouraging. 'Spoiled', 'ripped off', 'doubt', ... it is clear that he is extremely dissatisfied with the way in which we now deal with China. The Asian markets are better off.
Sources: CNBC
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