Trump may have ‘a method to his madness’ by teasing a trade war — but it could still end in chaos – ANOTHER WEEK OF NIGHTMARE!!!
- President Donald Trump’s tough recent talk on trade gave him some small victories, in the form of new negotiations with China and South Korea.
- His strategy may be an intentional ploy to extract gains in international trade.
- While it’s showing some signs of working, experts say his posturing may eventually backfire.
President Donald Trump fell into a familiar pattern during the month of March, announcing tough trade actions and eventually backing off the most damaging possibilities when allies raised concerns.
The moves have seemed to produce to produce some results:
- South Korea agreed to renegotiate their main trade deal with the US.
- China came to the table to talk about opening up their market to US businesses.
- And Trump tweeted that other countries started trade talks with the administration.
“There may be a method to his madness,” Greg Valliere, chief global strategist at Horizon Investments, told Business Insider. Read More @ http://www.businessinsider.com/trump-trade-war-china-strategy-dow-futures-stocks-2018-3
China March factory growth stronger than expected: official PMI – China is back with vengeance!! We SELL USDCNH this week. Critical support is waiting to break. All other pairs will follow through!!!
Indeed, the March survey showed manufacturers shifted into higher gear as usual as seasonal demand picked up at home and abroad. The sub-index for output jumped to 53.1 from 50.3 in February, while total new orders rose to 53.3 from 51.0 and export orders climbed to 51.3 from 49.0.
The China Logistics Information Centre, in a commentary on the PMI figures, said it expected first-quarter economic growth to be about 6.8 percent. Early this year, economists polled by Reuters were penciling in a fade to around 6.6 percent. Read More @ https://www.reuters.com/article/us-china-economy-pmi-factory-official/china-march-factory-growth-stronger-than-expected-official-pmi-idUSKBN1H701E
WHAT IS THE USD& JPY INDEX SAYING?
Monday News – Technical Trades that might affected.
Will be a quiet Monday with most banks are closed.
- 7.50am – Japan will start with an important data “TANKAN” – which is expected to be good. We continue BUY JPY.
- 9.45am – China will release the CAIXIN Mfg and is expected to be good. We Buy CNY.
- 9.30pm – Canada will release Mfg index and is expected to be good as the last few months CAD has weaken much and it should boost the MFG index.
- 9.45pm – 10.00pm – US will release their Mfg PMI and is expected to be weak. We continue to sell the USD.
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