Celebrating 10 Years of Trusted News Discovery
One News Page
> >

US-China trade war weighing on world's growth, IMF says Thursday, 17 October 2019
The global economy is slowing, largely because of the U.S. trade war with China, according to the 189-member International Monetary Fund.

The Washington-based institution is the world's lender of last resort, providing emergency loans when countries face financial crisis. In its latest forecast the IMF blamed higher tariffs as a key driver of this year's slowdown in global economic growth.

Growing uncertainty over trade and rising geopolitical tensions also underlie the IMF's new forecast for global economic growth to slow to 3% this year. That would be the weakest performance since 2009, when the global economy contracted 0.1% in the aftermath of the 2008 financial crisis.

The IMF predicts U.S. growth will slow to 2.4% this year from 2.9% in 2018. It also forecasts an increase of only 2.1% next year, even as it expects global economic growth to rebound 3.4% in 2020.

The trade war between the U.S. and China has dragged on for 15 months. Along the way, the two sides have raised import duties on billions of dollars of each other's goods and threatened to pile on more later this year.

Uncertainty over when the conflict might be resolved has roiled financial markets and fueled fears that the dispute might tip the global economy into recession.

Tensions seemed to ease Oct. 11, when a new round of trade negotiations saw the U.S. agree to suspend a planned hike in tariffs on $250 billion of Chinese goods that had been set to kick on Oct. 15. In exchange, Beijing agreed to buy $40 billion to $50 billion in U.S. farm products.

Despite that, some investors remain skeptical.

"Really nothing came out of those talks of consequence," said Adam Taback, deputy chief investment officer at Wells Fargo Private Bank. "The best outcome that we got was a lack of further escalation, for...
Credit: The Street - Published < > Embed
News video: Trade War Weighs On Both Sides Of Pacific

Trade War Weighs On Both Sides Of Pacific 00:33

U.S. stocks are falling sharply Friday as the fallout from the trade war between the U.S. and China weighs on the world's two largest economies. The Dow is falling triple digits while the Nasdaq is down more than 1% Friday. The Chinese economy grew at a 6% rate in the third quarter, its slowest rate...

You Might Like

Recent related videos from verified sources

Without a China trade deal, U.S. will hike tariffs: Trump [Video]Without a China trade deal, U.S. will hike tariffs: Trump

U.S. President Donald Trump said on Tuesday that he would raise tariffs on imports of Chinese goods if no trade deal is reached with Beijing to end a tit-for-tat trade war that has roiled markets and..

Credit: Rumble     Duration: 00:44Published

How Investors Should Respond to the Unexpected Meeting Between Trump and Powell [Video]How Investors Should Respond to the Unexpected Meeting Between Trump and Powell

Monday morning, Federal Reserve Chair Jay Powell and President Donald Trump sat down to discuss, among other things, the economy, interest rates, and the trade war. The meeting was not on the..

Credit: The Street     Duration: 01:35Published

Recent related news from verified sources

World stocks, yields fall as China slowdown deepens

World stocks edged lower and debt yields fell on Thursday as Chinese economic data slowed in October and Germany narrowly avoided a recession in the third...
Reuters Also reported by •Reuters India

U.S.-China trade hopes revive stocks, crude rises

Crude prices and global equities markets rose on Friday, with the major U.S. indexes setting record highs, on renewed hopes that the United States and China will...

Tweets about this

Environmentally friendly: One News Page is hosted on servers powered solely by renewable energy
© 2019 One News Page Ltd. All Rights Reserved.
About us  |  Contact us  |  Disclaimer  |  Press Room  |  Terms & Conditions  |  Content Accreditation
 RSS  |  News for my Website  |  Free news search widget  |  In the News  |  DMCA / Content Removal  |  Privacy & Data Protection Policy
How are we doing? FeedbackSend us your feedback  |   LIKE us on Facebook   FOLLOW us on Twitter  •  FOLLOW us on Pinterest
One News® is a registered trademark of One News Page Ltd.