06 Aug Escalating US-China Trade war
Key Points:
- The trade war between the US and China is escalating, posing a rising threat to global growth.
- Although we remain of the view that a deal will be reached, the risk has increased.
- Share markets may need to fall further in the short term to remind both sides of the need for a deal and get them talking again.
- However, we regard the fall in share markets as another correction rather than the start of a major bear market.
