US and China agree to 'phase one deal' in trade war, stocks rally

[abradley]

https://www.foxbusiness.com/markets/stocks-jumping-on-trade-optimism
It's early days yet, but may be a sign of a Trump win in the trade war ... maybe.

Heard some place the deal includes some big bucks for farmers.

 

[Kaitzilla]

China had to release 10,000 tons from their strategic pork reserves last month.
They desperately need more pork.

 

[innonimatu]

strategic pork reserves reminds me of the cold war movies.

They can do with less pork. Their worries are different. It's the hope of restoring the cozy relation with american corporations, now under threat but not yet written out. As seen by recent events related to Hong Kong.

This places china in a dilemma: they don't want Trump to escalate further and risk crossing some no turn back point. But they don't want to hand him a victory either, as they must still hope that after the next election they'll have a different president and different policy to negotiate with. My guess is that they'll try to keep the situation mostly frozen until the sumer of 2020.

 

[Estebonrober]

https://www.foxbusiness.com/markets/stocks-jumping-on-trade-optimism
It's early days yet, but may be a sign of a Trump win in the trade war ... maybe.

Heard some place the deal includes some big bucks for farmers.

If only he could manage to do this without looking like a damned fool and with maybe at least speaking for human and civil rights in China.

 

[Oerdin]

It seems exceptionally weak and won't get adopted. The main points are opening Chinese financial markets, which are all under water and need state bailouts, so they are just selling poison pills which are going to lose value for anyone stupid enough to buy them. It would be the mortgage crisis all over again times ten. The second "big" point is they would stop the ban on US agricultural goods but only in a partial way.

It should be a nonstarter.

 

[rah]

We've seen many first steps. The NA trade agreement, NK nuke deal, and others. All went no where. I won't hold my breath.

 

[Broken_Erika]

It'll sputter along until trump sees something on tv and fires off a stupid tweet.

 

[rah]

But he will claim they were all successful over and over again, until his trumpettes know no other tale.

 

[hobbsyoyo]

But he will claim they were all successful over and over again, until his trumpettes know no other tale.

Not just him, Fox News will also play this up and continue ignoring all failings of the President. It's important we don't overlook the role of the state propaganda machine in propping him up.