Business Maverick: These Are the Worst-Case Scenarios for China in the Trade War

  • 📰 dailymaverick
  • ⏱ Reading Time:
  • 52 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 84%

Business News News

Business Business Latest News,Business Business Headlines

Business Maverick: These Are the Worst-Case Scenarios for China in the Trade War By Bloomberg

Bank of America Corp., Morgan Stanley and UBS Group AG say China’s expansion may slow below 6 percent under such a scenario for the first time in almost three decades. The 5.8% pace seen by chief Greater China economist Helen Qiao at Bank of America would create “a more dire growth environment than the number suggests.”

The economy is set for a bumpy ride in the short term, with additional tariffs on $200 billion of Chinese products shaving 0.3 percentage points this year, according to economists “The outlook is bleak,” said Chen Long, an economist at research firm Gavekal Dragonomics in Beijing in a May 14 note. “Equities are likely to correct further, potentially wiping out most of the market’s year-to-date gains. Bond yields will fall again, after the recent pick-up. And the renminbi is likely to soften,” he said, referring to the yuan by its other name.

U.S. tariffs on Chinese products have already set in motion a profound shift in global supply chains that won’t be easily reversed. That threatens to accelerate the departure of manufacturers that already are reeling from rising labor and other costs.Japanese office equipment maker Ricoh Co. said Thursday it is moving some production from China to Thailand to avoid trade war risks and Taiwan’s Kenda Rubber Industrial is investing in Vietnam for the same reason.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Business Maverick: Trump Moves to Limit Huawei as Trade War With China IntensifiesDonald Trump ratcheted up his battle with China for dominance of 5G technology networks, moving to curb Huawei Technologies Co.’s access to the U.S. market and American suppliers.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: World Economy Rebound Thrown Into Doubt by Escalating Trade WarThe escalating U.S.-China trade war is threatening to upend the global economy’s much-anticipated rebound and could even throw its decade-long expansion into doubt if the conflict spirals out of control.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Trade War Spurs `Change in Attitude’ on Gold for Spooked MarketsDonald Trump’s tweets are keeping global financial markets on edge, and many investors are opting for gold as a refuge.
Source: dailymaverick - 🏆 3. / 84 Read more »

BUSINESS MAVERICK: US-Sino trade war will provide few opportunities for SAAn old African proverb holds that ‘when elephants fight, it is the grass that suffers most’. As the US and China lock tusks over trade, grass on a global scale is getting trampled. And for South Africa, there appear to be few green shoots amid the carnage. Why do you call negotiations a trade war?
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Trump Warns China to Act on U.S. Trade Deal or Face Worse TermsPresident Donald Trump said it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be on offer for them after what he predicted would be his certain re-election in 2020.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Tencent Beats Estimates, Signaling the Worst Is Behind ItTencent Holdings Ltd. reported the slowest pace of sales growth since it went public in 2004, as China’s largest company struggles to revive a battered gaming division while battling the country’s decelerating economy.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Ex-Fugees Rapper Poised to Be Charged in Case Tied to Obama Funding, 1MDBFederal prosecutors are expected to charge former rap star Pras Michel as soon as Friday with campaign-finance violations related to President Barack Obama’s 2012 re-election campaign, according to two people briefed on the matter.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: China April industrial output up 5.4%, much less than expected, retail sales also falterGrowth in China's industrial output slowed more than expected to 5.4 percent in April from a 4-1/2 year high in March, reinforcing views Beijing will have to roll out more stimulus measures as a trade war with the United States intensifies.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: U.S. Readies New Tariffs as Trump Says He’ll Meet China’s XiThe U.S. prepared to hit China with new tariffs even as President Donald Trump said he’ll meet his Chinese counterpart, Xi Jinping, at next month’s G-20 summit, an encounter that could prove pivotal in a deepening clash over trade.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Stocks, Commodities Tumble as China Strikes Back: Markets WrapU.S. stocks and commodities tumbled after China retaliated with higher tariffs on a range of American goods. Treasuries jumped with the Japanese yen on demand for haven assets
Source: dailymaverick - 🏆 3. / 84 Read more »

MARKET WRAP: JSE has worst week in 14 months amid US-China trade jittersBy the close of trade on Friday the JSE was down 4.31% for the week, falling every day to Thursday
Source: BDliveSA - 🏆 12. / 63 Read more »