Fifteen Percent, Three Hundred Sixty Billion Dollars, Ten Billion Dollars discussed on Biz 1190 Overnight featuring Bloomberg Radio
Are. the reading is a long. we. this entry to go more with our kind of correspondent Tom mackenzie and aides T. research founder and CEO hunts could see you looking now at three hundred sixty billion dollars worth of Chinese imports into the U. S. that are now facing or now how these kind of some of the latest round was fifteen percent on a hundred and ten billion dollars worth of goods are not included things like text all that included things like shooters but also take products like the apple watch for example and then you looking December the fifteenth of another round of tariffs from the west side essentially covering of old Chinese imports into the US of an additional fifteen percent taking in come December the fifteenth and as you mentioned we got retaliation from China as well as they had for lactating things like soybeans and oil and beef as well and again they can hit another round all of US imports into the Chinese market come December the fifteenth so you're talking about a significant ratcheting up of pushing the button it'll be groups the business lobby groups in Washington say look you got to get back to tools you gotta put in place a tower truths because this is really starting to hate cool press but also US households as well JP Morgan says that you could be looking to hit US households about a thousand US dollars a year if you do see time some old Chinese imports into the US market. on the other aspect that I got to take into consideration is the fixing which was a little bit stronger again at balancing dot on the currency against the data and the data is beginning to look a little bit on easy on the PMR readings. yeah that's that's absolutely right so we got the official PMI out over the weekend and then the survey at around nine forty five local time today this divergence says so the official numbers your right to say you still fourth straight month the contraction for manufacturing PMI into the private survey which focuses more on the SMEs in the private sector you saw some surprise sprint fabric make economic sense don't get your hopes up he they expect further weakness in the months ahead because they say that the business sentiment and the Dimond domestically is that much weaker than it was towards the beginning of this year in terms of the bright spots usual non manufacturing PMI rebound in the month of August suggesting that maybe the services sector he was starting to accelerate but again most economists do you think the policy makers gonna have to step up their support whether that's more infrastructure spending or easing the cubs on the real estate market old again loading those low crime rates to show that the sheep a credit to the private sector that is where the focus is now because the slow down is pretty entrenched. yes indeed our at our China correspondent Tom mackenzie thank you so much for that let's forget Eiichi research founder and CEO hands go T. he joins Madison myself now from our Singapore studio so good to see you this morning hands thank you for coming on the show as always. where thanks I want to begin or where Tom just left off which is the economic impact of these trade tensions what are you watching to gauge that impact in terms of either real economic activity or sentiment. well sentiment clearly takes a hit I mean you can see it across the board for his is in the United States to have a recession in capital spending I mean nobody is seriously thinking about the long term many of so much uncertainty surrounding the trade for and unfortunately there's no resolution in sight because now whatever happens is heavily politicized on one hand the FDA U. S. selection in twenty twenty with to present trouble to get reelected obviously he cannot appear to be weak on the other hand you have the seventieth anniversary of the people's Republic of China presidency cannot appear to be weak so I don't really see those of a resolution and I think the real problem is the hate to sentiment and that basically sells on everything yeah..