Although Germany’s economy emerged from stagnation to grow by 0.4% in the first quarter, the outlook remains fragile amid a manufacturing slump that will be challenged anew by the trade war. Investor confidence in Europe’s largest economy unexpectedly weakened this month for the first time since October.Such softness even before the conflict between the U.S. and China reached new lows reinforces the concerns.
U.S. shipments to China are more limited, though 5.1% of its agricultural production heads there as does 3.3% of its manufactured goods.“Higher tariffs would mean lower margins for producers and higher prices for consumers and, in turn, reduced demand. This would create widespread disruption along the supply chain.”still betting
A trade war would compound an existing softening in global growth, and add to a mix of issues, such as a cooling technology boom and weaker demand for cars, particularly in China. For companies, it means visibility about the broader global backdrop is low. “The world economy has been in a significant slowdown for a period,’’ said James Bevan, chief investment officer at CCLA Investment Management. “People just have to wake up and look at the trade data.’’
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:
South Africa South Africa Latest News, South Africa South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
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: 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: 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: AngloGold Ashanti puts a for sale sign on the world’s deepest mineAfrica’s top gold producer, AngloGold Ashanti, is putting the last of its South African assets up for sale. Anglo American exited from gold years ago and looks like it is here to stay as it makes money from platinum, iron ore and diamonds. But the last of the bullion assets linked to its name is bound to provoke some feelings of nostalgia. Yet nothing is set in stone and not many companies have the technical ability to run Mponeng, the world’s deepest mine, which is included in the sale.
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK: Jumia shrugs off short-seller reportShares in e-commerce company Jumia, otherwise dubbed Africa’s Amazon, have plateaued after a week that saw the share price plunge after the publication of a report from short-seller Citron Research that suggested the company was not what it appeared to be.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: May to Bring Brexit Deal Back to Parliament at Start of JuneTheresa May set a date for her final Brexit showdown, promising to bring her deal back to Parliament at the start of June. Talks with the opposition Labour Party haven’t yielded an agreement, but she’s hoping members of Parliament, stung by voter revolts, will back her in order to end the process that’s tearing both main parties apart.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Wednesday May 15: Five Things You Need to Know to Start Your DayStocks in the U.S. soared as traders embraced a more hopeful trade outcome. President Trump called on the Federal Reserve to match China’s countermoves, while the Global Times called the trade dispute a “people’s war.” And as tensions flare in Iran, Trump denied he’s preparing troops but promises lots of them if needed. Here are some of the things people in markets are talking about today
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK: Nampo agricultural show highlights the scale and sophistication of South African farmingFarming in SA is undergoing a revolution, and not the kind envisioned by the Economic Freedom Fighters and its copycats in the ruling party. Techniques such as precision farming, which uses GPS technology to boost productivity and yields, are widening the already yawning gap between commercial agriculture and the subsistence plots still being tilled in the former homelands and other impoverished rural areas. A trip to industry group Grain SA’s annual Nampo agricultural show reveals the sheer scale of what is unfolding in the fields. Remember that.Small-scale farming wont feed SA.
Source: dailymaverick - 🏆 3. / 84 Read more »