China came $73.1 billion short of the total amount of U.S. goods it promised to purchase in the phase one trade deal between the two nations, according to a Peterson Institute for International Economics report.
While it agreed to purchase $173.1 billion in U.S. goods by the end of 2020, China purchased just $100 billion worth of goods, according to import data analyzed by the Peterson Institute for International Economics (PIIE). In January 2020, former President Donald Trump and Chinese Vice Premier Liu He signed the phase one trade deal, which was aimed at resolving long-running China-U.S. trade disputes, and in February the deal went into effect. Read More
New orders for durable goods posted a second consecutive month of rebound in June, rising 7.3 percent following a gain of 15.1 percent in May. The two gains followed drops of 18.3 percent in April and 16.7 percent in March. If transportation equipment is excluded, new orders for durable goods increased 3.3 percent in June following a 3.6 percent rise in May. Durable-goods orders had been holding above the $200 billion level since May 2011 before posting sharp declines in March and April (see first chart). New orders for June are back above the $200 billion threshold, totaling $206.9 billion, but are still 21.9 percent below June 2019. Read More
Is America in a recession? It’s an unpopular question to ask, but it has now been over 3 months since COVID-19 restrictions were initiated and it is time for us to get realistic about where we are economically so that we can take the proper steps to minimize further damage to our economy. At this point, the unfortunate reality is that regardless of what we do, it is likely that it will take at least several years to see a partial recovery of economic loss and the time that it will take for a complete recovery remains unknown at this point. Read More
Stocks closed higher on Wall Street Tuesday, extending the market’s recent winning streak after another strong showing by technology companies.
The S&P 500 rose 0.4% and is on pace for its third straight monthly gain. The Nasdaq composite, which is heavily weighted with technology stocks, climbed to an all-time high for the second day in a row. Bond yields rose, another sign of increasing confidence in the economy. Read More
Stock indexes are higher on Wall Street in choppy trading Monday as investors weigh the risks that rising coronavirus cases could pose to hopes for an economic recovery.
The S&P 500 rose 0.4% in midday trading after an initial slide of 0.6% following weakness in overseas markets as the global tally of infections approaches 9 million. The price of gold rose, a signs of caution in the market. Bond yields were mixed. Read More
by Spencer P. Morrison Reports of a deadly new virus began trickling out of China in December. The infection spread rapidly. By March 12, the World Health Organization deemed COVID-19 a global pandemic. The next day President Trump declared COVID-19 a “national emergency” that would require the “full power… Read More
The COVID-19 pandemic has served to upend many long-held policy assumptions, but none so clearly as the theory that international trade rests purely on economic incentives, and that those economic incentives will always override a country’s more base instincts to act in its own interest because of the cost to global profits.
Responses from countries around the world to COVID-19 have significantly fractured this argument. It can no longer be said with unshakable confidence that nations will sidestep their own economic objectives, interests, and policies for the sake of a more profitable international economic integration. Read More
President Trump repeatedly has called on companies to move their factories out of Communist China.
He imposed tariffs after determining the Chinese government was illegally subsidizing the production of those goods.
Companies responded by asking the president to lift the tariffs, parroting the Chinese Communist party line. Read More
In a seemingly-paradoxical turn of events, Mexican protesters on Wednesday blocked incoming traffic at the U.S. southern border, demanding their government do more to restrict American travel into their country.
A group of about a dozen protesters, holding signs and wearing face masks, used two vehicles to block southbound traffic coming out of a U.S.-Mexico port of entry near Nogales, Arizona, according to a report from the Arizona Republic. The protesters said their stunt was meant to highlight the dangers posed by incoming U.S. residents who may carry the coronavirus. Read More
The virus that originated in Wuhan, China poses a double threat to America.
The first is to our health as the virus spreads through the U.S. population. The second is to our economy as more businesses, schools, and events shut down to slow the spread of the contagion.
We must not underestimate the economic threat because the Chinese Communist Party is using the pandemic to achieve its goal of supplanting the United States as the world’s leading economic, diplomatic, and military power. Read More
The State Department is suspending visa services in most countries across the world, the Trump administration’s latest response to mitigating the spread of the coronavirus pandemic.
In a statement released late Wednesday, the State Department announced it’s cancelling all routine immigrant and nonimmigrant appoints at embassies and consulates in numerous countries. The suspensions became effective immediately, and no specific date was provided on when services would begin again. Read More
What are the real roots of globalism, the ideology of the party of Davos, transnational corporations, of many U.S. Democrats, and their counterparts in Europe and elsewhere today? Read More
China says it will cut tariffs on $75 billion of U.S. imports as part of a preliminary agreement between the economic giants to end their trade war. Read More
The experts said it couldn’t be done, but here we are. Read More
You didn’t see it on the front page of one of the establishment newspapers or in the lead segment on establishment TV, but Reuters reported the number of Americans filing applications for unemployment benefits unexpectedly fell last week, hitting their lowest level in seven months, indicating the labor market remains solid. Read More
One of the more bizarre elements of last night’s Democratic presidential “debate” was how much the leading Democrat – Senator Elizabeth Warren – agrees with President Trump, especially on endless Middle East wars and the effects of trade on American workers. Read More
Readers will recall that in the 2016 election and since then financial and political analysts were tripping over themselves to predict that if President Donald Trump won and implemented his planned trade agenda, which included tariffs, why, we’d have a global recession perhaps even as bad as the Great Depression. Read More
President Donald Trump is very bad at being an isolationist, in fact, he is probably one of the worse isolationists in American history. Read More
J.P. Morgan estimates that President Trump’s tariffs will cost American families up to $1,000 next year. We have heard this before and we’ll hear it again. But the fact is that tariffs have not yet—nor will they likely—increase the cost of living. Read More
For the past two years, President Donald Trump has argued that China was paying the cost of the trade war. Following a delay in some of the tariffs from the latest round in the dispute with China, however, the president has acknowledged for the first time that tariffs have an impact on American families. Read More
The U.S. imposed a 15% tariff Sunday on Chinese imports valued at $111 billion in 2018 including tools, apparel, footwear and electronics, The Wall Street Journal reported. Read More
Continuous wet weather disrupted the spring planting season for Southern Illinois farmer Jim Raben, meaning he is anticipating a lean harvest this year. Read More
President Donald Trump said Sunday that Apple CEO Tim Cook told him paying economic tariffs would make it difficult for his company to compete with the likes of Samsung. Read More
The U.S. trade in goods deficit with China is down 10 percent in the first six months of 2019, or $18.8 billion, compared to 2018, according to the latest data from the U.S. Census Bureau. Read More
U.S. Rep. Debbie Dingell (D-MI-12) says she was disappointed in the Democratic presidential debate because of the lack of a focus on trade… Read More
by Lawrence Reed Everybody knows who America’s first president was, but can you identify the country’s first economist? If any man or woman deserves that description, it is surely the one who wrote this and so much more: I propose . . . to take off every restraint and… Read More
by Rick Manning China cheats. All of those who get worked up over negligible increases in U.S. tariffs on Chinese made goods, please remember this basic fact – China cheats. China manipulates their currency by artificially pegging it well below the dollar, and devaluing it further to offset tariff… Read More
by Ken Bredemeier White House economic adviser Larry Kudlow said Sunday resumption of trade talks between the U.S. and China “is a very big deal,” but acknowledged there is no immediate prospect for an agreement between the world’s two largest economies. “The talks will go on for quite some time,”… Read More