Chinese Officials Decide They Don’t Need Montana Tour, Would Rather Just Go Back Home
The evolving trade narrative took an abrupt - albeit wholly predictable - turn for the worse on Friday afternoon when Reuters reported that Chinese officials canceled a scheduled visit to Montana.
For those who might have missed it on Thursday, the Chinese delegation led by Vice Minister for Agriculture and Rural Affairs Han Jun, planned to visit Bozeman, Montana and Omaha, Nebraska, following working-level talks aimed at setting the stage for principal-level discussions between Liu He and Bob
They left because they just couldn’t wait to tell their emperor all about the “beautiful” deal they signed.
Darn …I never thought of that !!!
The news came just an hour or so after Donald Trump, during a joint press conference with Australia’s Scott Morrison, said he didn’t need a trade deal with China before the 2020 election.—-This is so puzzling. I thought trade wars were “easy to win”. If there is not a deal before the election, it will mean the great deal maker, with a very big brain (and GUT), an actual genius, wasn’t able to put a deal together in almost 2 year. He should read his own book, “Art Of The Deal” .
Since he has not read a book in his entire adult life, and considering he never wrote that book in the first place, the odds of him reading anything other than headlines on Fox news, are slim.
Omaha, Nebraska? Of course the Chinese delegation cancelled!
Go back several months. If someone had told you in Sep 2019:
– Fed will be sticking to 25bp “insurance” cuts
– US-China trade talks will be cut short
– US President will be saying no need for a trade deal before 2020
– 3m/10y curve will be persistently inverted since spring
– ex-US economic data persistently negative
– US econ data mixed
– S&P500 earnings growth negative for 2 qtrs and forecast negative again for a 3rd qtr
You’d have considered that kind of bearish for stocks, no?
Perhaps the short work has begun.