Asian, European Stocks Rebound Ahead of US-China Trade Talks

Asian, European Stocks Rebound Ahead of US-China Trade Talks

Asian, European Stocks Rebound Ahead of US-China Trade Talks

-China relations will force other US companies to cut their sales estimates in China.

Americans have felt relatively more pain from President Donald Trump's trade war than Chinese consumers and businesses, according to analysts at HSBC.

Trump has long complained about America's gaping trade deficit with China: The gap between what Americans sold and what they bought from China in 2017 amounted to $336 billion and will likely be higher in 2018. The S&P 500 Index tumbled 2.5 per cent on Thursday amid mounting indications that U.S. business is starting to feel the pinch from the trade war.

Do you think the US and China will reach a trade agreement before March 1?

Trump has slapped import tariffs on hundreds of billions of dollars of Chinese goods as he seeks concessions from Beijing on issues ranging from industrial subsidies to hacking, sparking retaliation by China.

Despite its softening economy, China will likely find it hard to comply with US demands to slow its economic ambitions.

The US team will be led by Deputy Trade Representative Jeffrey Gerrish, the ministry said. Washington's goods trade deficit with Beijing hit an all-time high of $US43.1 billion in November, with shipments up by almost a tenth from a year earlier. The Dow was off 5.6 percent for the year, with the broader Standard & Poor's index of 500 stocks down 6.2 percent.

On top of concerns about collateral damage from the U.S.

What was hailed just a year ago as an era when the world's major economies would all grow together has evolved in a more volatile direction, with the United States juiced along by tax cuts and government spending while the rest of the world sputters.

The U.S. manufacturing sector has begun to slow, and the Institute of Supply Management's survey of corporate purchasing managers on Monday showed the largest monthly decline since the depths of the recession in December 2008.

While China has been benefiting from strong import demand in most of its other trading partners except for the U.S. and Germany, the analysts said, the USA has not. Also set to travel are USTR's chief agricultural negotiator Gregg Doud; the Department of Agriculture's under secretary for trade and foreign agricultural affairs Ted McKinney; Commerce Department undersecretary for global trade Gilbert Kaplan and the Energy Department's assistant secretary for fossil energy Steven Winberg.

Both governments face economic pressure to reach a settlement. "However, these reasons can only take you so far..."

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