China’s exports unexpectedly fell in August as shipments to the US slowed sharply, adding to worries about the effects of the two nations’ trade war.
China is expected to announce more support measures soon, to avert the risk of a sharp economic slowdown.
These could include the first cuts in four years to some key lending rates.
August exports from the world’s second largest economy fell 1% from a year earlier, the biggest fall since June, when they fell 1.3%,
Analysts had expected to see a rise in exports
Oops. Not good. And not likely to get better any time soon.
Does this mean the trade war Trump is waging with China is working?
Will this spur China to come to the table and cut the deal Trump is angling for, which still gives it a tremendous benefit in trade with the United States, but significantly closes the gap — in other words, a win for both sides?
It won”t be long before we find out.