According to Axios, citing White House economic adviser Larry Kudlow
- China’s Xi doesn’t want to move on trade
- That has offered US no options on IP theft and technology transfer
- Trump won’t ‚let go‘ of trade issue regardless of mid-terms
Kudlow goes on to say that Xi is making a „very bad bet“ in thinking that „if he waits out the November elections, Trump will be weakened and therefore lighten the bite“.
A lot of jibber jabber on the trade rhetoric, but given how the market appears to be mostly desensitised by now it’s hard to see this provoking any sharper reaction. Even equities are paring some of its earlier losses as the FX and bond markets remain calm still.