【Morgan Stanley: Trump's Tariff Letter May Signal Tactical Upgrade in Trade Negotiations】Morgan Stanley economists say that U.S. trade negotiations are moving in the direction of a tactical upgrade. The bank's report states that if the latest tariffs proposed in a letter to trade partners by the Trump administration take effect, the weighted average tariff in Asia will rise to 27%. However, Trump has indicated that the United States is about to reach an agreement with India. Morgan Stanley states that this suggests that most large Asian economies will be able to reach an agreement before the August 1 deadline. However, Japan and South Korea may be unable to resolve key issues through negotiations. Morgan Stanley states that these issues include Japan's automotive tariffs and agricultural issues, as well as South Korea's automotive and steel tariff exemption issues.