#TariffsPause Short-term financial market: Positive signals from US-China tensions

In a context where it seemed that US-China trade tensions would escalate again, the global financial market unexpectedly received positive signals.

President Trump has reaffirmed his tough stance: he will not reduce taxes on Chinese goods unless he receives 'beneficial concessions for America.' However, what is noteworthy is that China is taking a softer approach. According to Reuters, Beijing is exempting certain imported goods from the US from the extremely high 125% tariffs, a move believed to be aimed at alleviating significant pressure on the domestic economy.

Although both sides maintain a tough rhetoric, the actual actions reveal a 'soft de-escalation' process between the two largest economies in the world – a factor that may continue to support positive sentiment in the financial market.