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Trade Wars Update – WTO To Get Involved

Cory
April 10, 2018

Comments by the Chinese President Xi last night have settled trade war fears by bringing the WTO into the mix. Chris Temple and I discuss why we think this is a positive development and now puts the ball back in Trump’s court. Rather than go further down the tit for tat tariff road the countries are going to have to work together to find a solution. There is still a lot of unknowns but the markets and many other assets are cheering this development.

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Discussion
2 Comments
    BDC
    Apr 10, 2018 10:42 AM

    All well and good, but real Levant lead is flying due to ‘The Ugly American’ — whether initiated by Trump or not.

    Apr 10, 2018 10:06 AM

    A comment I found by a bank on ZH: “What Xi said was more for rhetorical purpose, rather than substantial concession, even though the market seems to be trading like latter.” If I remember, seems like it takes months to work through the WTO process. Possibly most will have forgotten the issue before it has been settled and will have moved on to some other worry. JMO