The geopolitical situation between US-China now becomes a headache for Feds because the country is going through that situation, which requires interference from fed. Trump administration has been continually trying to convince the Fed to cut the rate of interest, but Chairman Jeremy Powell has completely disagreed with Trump on his trade policies. Now a recent report shows that US-China might be having a trade talk and that somehow relieves some pressure from the Fed. Trump recently said that the US is ready to have trade talks with China after meeting with Chinese president Xi Jinping at G-20 summit.
Trump decided to resume the trade talks with China after he successfully discussed the current situation with Xi Jinping. Both countries president were at the G-20 summit, and they successfully agreed to take further steps to have trade talk. Now the Feds are getting a sigh of relief because from last few days they were under pressure of cutting rate of interest.
Experts are saying that recent signs of positive trade talks between US-China show us a positive picture of about both countries trade dispute. Reportedly the US has agreed to ease some restriction they have put on Huawei and other things also which are quite crucial for both countries businesses. Trump administration has already criticized feds for not cutting rate if interest because of which growth of US economy slowed down. Jeremy Powell, who is the chairman, got slammed by Trump for not showing any support for his vision. Now, this recent trade talk between US-China gives some hope for fed for not cutting rate of interest, and they are probably going to keep their economic policy further continue going on. Even though as of now, the US economy is in a good situation still Feds have a massive responsibility if things don’t go as planned.
William has an experience of more than seven years writing for the web. In the recent couple of years, he’s been focusing on the business sector, watching market trends and the growth of economies. At News IMN, we use his services to keep our readers updated about the market that decides their lives.