Global 

Trump and his economic aides are wrong with their ‘managed trade’ because forced diversion of commerce is neither free nor fair

It has been said that fools rush in where angels fear to tread. When it comes to trade, there are few bigger fools than US President Donald Trump and his economic aides.While they push for free and fair global commerce, they seem to think that they can manage trade to suit themselves.Managed trade is neither free nor fair, because it causes commerce to be diverted from the channels into which it naturally wants to flow. The world is about to learn this lesson with a US-China trade deal… Source link

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Donald Trump, Bernie Sanders and Alexandria Ocasio-Cortez are all wrong. The US needs an independent Fed

There are many things in life we take for granted. Recent breakdowns in Hong Kong’s MTR system serve as a reminder that a functioning transport system is critical for a city to run efficiently.  For many years, global investors took an independent US Federal Reserve as a given. The central bank’s autonomous dedication to achieving price stability and full employment in the US provides an anchor of stability to the US dollar and the global financial system. In recent years, this independence… Source link

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Global 

US-China trade war: if Trump and Xi agree ‘grandaddy’ of trade deals, here’s what comes next

After more than a year of tussling, Beijing and Washington “are rounding the turn” to achieve “the grandaddy of all” trade deals in the coming weeks, to borrow US President Donald Trump’s interesting turn of phrase.To be sure, fretting that the deal could stall or collapse at the last minute is still valid partly because of Trump’s wilful unpredictability, but the deal is more likely to happen than not.If anyone is looking for any fresh sign of confirmation, Trump gave one last week when he… Source link

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Global 

Donald Trump urged by former US official to include allies in US-China trade war deal

The United States risks losing the spoils of the trade war if it does not include long-standing allies in a deal with China, according to a former senior US trade official.Wendy Cutler, who was acting deputy US trade representative during the Obama administration, urged US President Donald Trump to forget his “preference for unilateral actions” and work with the European Union, Japan and other allied nations in a bid extract maximum benefit from trade talks with China.“While the US market… Source link

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What the US will lose in a trade agreement with China, thanks to Donald Trump

As the US and China get closer to a possible trade deal, the World Trade Organisation is set to lose its principal role as an arbiter of disputes. That has significant consequences for global trade, and underlined the re-emergence of bilateral agreements that once hindered global trade and development for decades. It’s no surprise that US President Donald Trump’s go-it-alone strategy to upend the status quo runs straight through Geneva. As a presidential candidate, he ran on rebellion. Once in… Source link

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Debt-laden Italy eyes China’s belt and road, risking more than just the wrath of Donald Trump and the EU

Is China’s “Belt and Road Initiative”, as Italian Finance Minister Giovanni Tria says, “a train that Italy cannot afford to miss”? Prime Minister Giuseppe Conte also thinks Italy should jump on board, saying the multibillion-dollar Chinese infrastructure plan is “an opportunity for our country”. Italy’s government plans to sign a memorandum of understanding with China on the belt and road scheme during Chinese President Xi Jinping’s March 22-24 visit, making it the first founding European Union… Source link

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China 

US-China trade war: Trump says he’ll welcome deal ‘either way’ as Beijing cools on idea of summit

US President Donald Trump said on Wednesday that he was in no rush to complete a trade deal with China and insisted that any accord with Beijing must include protection for intellectual property, a major sticking point between the two sides during months of negotiations.Trump and Chinese President Xi Jinping were expected to hold a summit at the US president’s Mar-a-Lago property in Florida later this month, but no date has been set for a meeting and no in-person talks between their trade teams… Source link

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Global 

Donald Trump should know to give up on his trade or currency wars because they are easy to lose and impossible to win

Donald Trump in effect declared defeat as he walked away from his Hanoi summit with Kim Jong-Un last month, and he might well be advised to do the same in trade negotiations with China before he stumbles even deeper into trouble.Team Trump has opened up a Pandora’s Box and is ill-equipped to deal with what’s inside.Japan could be next on Trump’s hit list for a trade deal and Tokyo fears there could be a currency element in the deal, as there may be yet with China. If so, this would…

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What Donald Trump should know about the global trade in human hair

  Recent heart-rending BBC reports of young – and not so young – Venezuelan women selling their hair to keep starvation at bay as they trekked overland towards Colombia and the United States border reminded me of one of the world’s least understood export industries, the global trade in human hair.  A week in meetings in Atlanta last week also brought me face to face with the other end of the business, where thousands of young black women have turned hair braiding into an awesome art. As… Source link

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Good news for investors: Donald Trump needs a China trade deal as badly as they do

Pity the poor investor trying to lay down credible investment bets for 2019. Global markets stopped making sense in the melee following the 2008 crash but at least investors had one defining mantra: stay long, central banks can’t be wrong. The glut of cheap central bank money pumped so generously into world financial markets more than compensated for the credit crunch, global recession and European crisis. Ten years on, markets now face new challenges from a global recovery losing steam amid… Source link

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