Tag: TRADE
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EU Awaits Missing US Trade Letter as Deadline Nears
The ongoing trade negotiations between the European Union and the United States have taken a curious and theatrical turn, leaving diplomats and observers alike both intrigued and puzzled. At the center of this diplomatic drama is a letter—an important piece of correspondence that, according to President Trump’s administration, was sent to the EU demanding its…
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Trump and Saudi Crown Prince Sign 2025 Agreement in Riyadh
President Trump signed the economic cooperation agreement with Saudi Crown Prince Mohammed bin Salman and co-chaired the Saudi-U.S. Investment Forum 2025 in Riyadh. The historic bond between the United States and Saudi Arabia grew even stronger on Tuesday, as the two nations inked a significant economic partnership agreement and a slew of energy deals that…
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Talk about dropping a bombshell into the financial pond and watching the ripples spread. Japanese Finance Minister Katsunobu Kato has indeed made a rather unorthodox and candid remark that’s got everyone’s attention. It’s like he pulled out a giant megaphone and announced, “Hey, we’ve got some serious economic firepower here!” The mere suggestion that Japan…
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Revealing the Hidden: How the US is Restructuring the Global Trading System
Global trade is imbalanced: The U.S. carries an outsized burden by supporting the world economy through its reserve currency and open markets. Overvalued U.S. dollar: High global demand for dollar reserves makes U.S. exports expensive and weakens domestic manufacturing. Manufacturing decline: The current system contributed to offshoring jobs and hollowing out U.S. industrial capacity. Geopolitical…
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China Hikes Tariffs on US Goods to 125%, Hints Trade War May Be Nearing a Resolution
China announced it will raise tariffs on all US goods to 125% starting April 12, escalating its response to Washington’s earlier decision to lift tariffs on Chinese imports to 145%. The move, confirmed by the Ministry of Finance on Friday, marks a significant intensification of the trade dispute but also hints that tensions may have…
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Can China Lower Labor Costs to Offset U.S. Tariffs?
China’s manufacturing strength has long been anchored in its vast labor force, once able to provide low-cost production at massive scale. With rising U.S. tariffs raising the price of Chinese goods abroad, especially in America, it’s natural to ask: could China simply lower labor costs again to remain competitive? On the surface, the idea appears…
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France’s Growing Double Deficit in 2025: Economic Risks and Outlook
France is currently grappling with a deepening economic imbalance marked by what analysts call a “double deficit” — a simultaneous widening of the trade deficit and a persistent public spending shortfall. In February 2025, the trade deficit surged to EUR 7.9 billion, the highest since September of the previous year. This marked a sharp increase…
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Will the Nikkei Rebound Hold? Insights into Japan’s Mkt Recovery
The recent rebound in Japanese equities has brought attention back to the Nikkei 225 and Topix indices after weeks of steep declines. Investors are asking a familiar question: can money “recreate itself” in the stock market after being “burned”? While the phrasing is figurative, the answer hinges on whether the market’s momentum can sustain itself…
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Trump Tariffs 2.0 vs. 1.0 – How the S&P 500 is Reacting Now
The market’s reaction to tariff implementations has been a significant indicator of investor sentiment and economic expectations. The chart comparing Trump 1.0 and Trump 2.0 tariffs showcases a clear correlation between the imposition of tariffs and S&P 500 daily returns, with the latter period appearing to be more volatile and reactive. Tariff 1.0: The 2018…
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Stephen Miran’s Economic Vision: Tariffs, Trade, and Dollar Depreciation
Stephen Miran, nominated by Donald Trump as chairman of the Council of Economic Advisers, has put forward a distinctive economic strategy focused on tariffs, currency valuation, and burden-sharing among trade partners. His proposals aim to reindustrialize the U.S., strengthen its economic position, and reshape global trade dynamics. Miran views tariffs as a negotiating tool, using…