US-China Trade Tensions Continue as the Deadline to Reach Consensus Approaches The US has been experiencing trade tensions with China due to the threats from both parties to implement protectionist measures as a way to retaliate. In particular, President Donald Trump threated China by saying that the US will implement double-tariffs on 200$ billions worth of Chinese goods, accusing the Chinese government of deliberately depreciating the Yuan in order to ensure the competitiveness of their exports industry, at the detriment of US industries. A possible trade war would be very damaging for the global economy, which has already shown signs of a slowdown. The deadline for this crucial deal is on March 1st.
Jerome Powell, chair of the FED, is expected to deliver testimonies on Tuesday and Wednesday. An outlook and analysis of the US GDP will be made this week, which will give an idea of the extent to which the economy is slowing in the US.
Israel’s central bank will set rates on Monday, while South Korea’s central bank will likely keep rates on hold.
Canada is expected to release data on its fourth-quarter GDP on Friday, showing the extent to which the Canadian economy might have been hurt by a weakness in the oil sector.