Goldman Sachs has a message for traders who hope the US and China will reach consensus before Friday night: Do not bet on that.
US markets were looking for directions on Wednesday when investors were struggling with controversial titles about whether trade relations between the two largest economies in the world would really turn to worse.
President Donald Trump commented on Twitter that Chinese Vice Premier Liu He "is coming to a deal," and White House Sarah Sanders said the United States has received the "indication" that China is ready to resolve the trade affair. Shortly thereafter, the Chinese Commerce Department said they were ready to take the necessary counter-actions in case the rates really jumped.
"It's hard to predict," said Goldman analyst Alec Phillips, saying the odds of rising to 60% would be likely.
During an interview with Bloomberg TV, JPMorgan Chase & Co. CEO, Jamie Dimon agreed that he did not think the two sides would be able to sign a deal by Friday.
Source: Bloomberg Finance L.P.
Charts: Used with permission from Bloomberg Finance L.P.
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.