Prepare for Trump’s Moves on Trade
He has been warning about it for many months, but so far it has mostly been just rhetoric. However, President Trump may now be set to make a move on international trade, potentially sparking a tit-for-tat trade war with other major nations. Investors have largely ignored Trump's tough rhetoric on trade, and mostly because his actions so far have not matched his bark. However, this has led to a possibly regrettable complacency over what may happen next, at least according to the Wall Street Journal. Trade growth has been doing better in recent years because of Chinese demand, but that could be about to change if Trump launches a new wave of measures to undo trade agreements.
FINSUM : We think Trump is quite reasonable when it comes to trade and does not want to start a fight that will hurt everyone involved. That said, he does point out the very real imbalances in many agreements and will likely seek to rectify them.
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