Market risks from trade war will fade but the 'cold tech war' will continue, says BNP Paribas

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Markets will grow less volatile once the U.S. and China reach a temporary trade agreement, but the 'cold tech war' will carry on, according to a BNP Paribas economist.

Lo said, given his expectation of a temporary pact, the continued trade war will no longer have such a big impact on "the macro risk in terms of market volatility," in the coming months.

But the affect of the trade dispute will linger on and hurt tech, Lo said. He predicted that disagreements in the technology sector will probably get even "colder" in the coming months — or even coming years. "There will be more focused trade war risk on the tech sector going forward. But then the overall market sensitivity to overall trade war risk may fade a bit," said the economist.national security as it is about the economy.

"I've been studying China for quite some time now and I'm big on China as well," Secretary of Defense Mark Esper told a group of reporters at the Pentagon when he was asked about the escalating conflict between Washington and Beijing. Conceptual image for the news about US blacklisting the Chinese tech giant Huawei. Huawei suffers billion dollars loss in profits.is the dispute over Chinese tech giant Huaweia telecommunications equipment and consumer electronics company, and its work in developing nations' 5G networks. That technology promises faster internet speeds that can better handle heavy-duty content like ultra-high-definition video and even driverless cars.

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