What’s Going On Here? Germany surprised economists by revealing its economy actually grew in the third quarter – but with weak economic data out of China, investors might worry Germany’s still headed for the fire. What Does This Mean? An ongoing effect of the US-China trade war is weaker economic growth than there otherwise would be, as purchases get deferred and…
Tag: china
Ep 56: Trump will raise tariff rates on Chinese goods
Long story short President Donald Trump says the U.S. will hike tariffs on most imports from China as his trade war with Beijing escalates. The U.S. will raise duties on $250 billion in Chinese goods to 30% from 25% and increase tariffs on another $300 billion in products to 15% from 10%. Earlier, China announced…
Ep 46: Chin Up, China
What’s Going On Here? China’s economy grew 6.2% in the second quarter of 2019 versus a year before (its slowest rate since the end of the Cold War). What Does This Mean? While the growth rate was in line with economists’ expectations and with China’s target of 6-6.5% for 2019 as a whole – a close inspection of the…
Ep 36: What FedEx Isn’t…
What’s going on here? The shipping company filed against the U.S. Commerce Department, calling it a “law enforcement agency” What inspired such soul-searching? FedEx claims it shouldn’t be held liable for unknowingly shipping products that violate the Trump administration’s ban on U.S. exports to certain Chinese companies. Driving the news: some mischief, some earnings Mischief first. Though many thought this suit…
Ep 32: Cloak And Dagger
What’s Going On Here? The US reported that China’s April holdings of American government bonds were at their lowest level in two years. Investors pondered whether the decline was in retaliation to ongoing trade tariffs. What Does This Mean? China owns almost 1/3 of all US debt held outside America. (China likes Uncle Sam’s bonds: they’re low-risk since the US can always print more…
Ep 30: My Way Or The Huawei
What’s Going On Here? Chinese telecoms giant Huawei (pronounced “wah-way”) cut its revenue forecast for this year and the next. What Does This Mean? Last year, Huawei’s revenue grew 20% to $104 billion as it overtook Apple in global smartphone shipments. But the company is now expecting sales to decline to “just” $100 billion in 2019 – significantly less than the…
Ep 29: The Art of the Deal
What’s going on here? New signs emerged that the trade war is dragging down the global economy. The International Energy Agency cut its projection for energy demand this year by 100,000 barrels to 1.2 million barrels per day, citing the “worsening trade outlook” as a “common theme across all regions”; China reported the slowest growth…
Journal Report 0: US-China Trade War
What? Simply put, it’s US & China constantly imposing tariffs on each other’s goods. Why? POWER Purely defensive measures Trump claims that trillions of dollars Americans transfer overseas (as a result of yearly trade deficits), instead of being invested in the U.S., are used by those countries to buy America’s assets; that raises the scenario that foreigners can buy…
Ep 15: Slow And Slower
What’s going on? The International Monetary Fund (IMF) cut its forecast for China’s economic growth The rest of the world is still waiting nervously… What does this mean? The world: The World Bank lowered its forecasts for global economic growth before that – citing the key reason is the ongoing trade war between the US and China. China comprises 1/3 of global growth, so a slowing Chinese economy reduces the…
Ep 6: Timeline of US – China Trade War
Overall Timeline: Events leading up:(Source: Wong. D., Koty. A. C. (2019) The US-China Trade War: A Timeline. [Online] Available from: https://www.china-briefing.com/news/the-us-china-trade-war-a-timeline [Accessed 3 June 2019]) 2011 – 2016 Trump makes several statements criticizing China’s trade practices before running for president and on the 2016 campaign trail Apr 6-7, 2017 Xi & Trump agree to set…
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