MACRO--Trade Dispute Escalation Weighs on Sentiment

摘要

Growth in the Chinese economy dampened in August, in part reflecting policies aimed at guiding a high-quality,sustainable growth path by addressing risks in the financial sector and continuing efforts to curb pollution. Theappreciating US dollar softened the prices of most commodities. As trade escalations continue, negative market sentimentis likely as the Trump Administration considers a 25% tariff on US$200bn of Chinese imports from September, up from aninitially slated 10%. This will do nothing to support a synchronised commodity price recovery after the weakness of recentmonths.