While low level Chinese and US delegations are meeting in Washington, round two of the trade war kicked off. The US decided to follow through on its initial $34 billions worth of tariffs with the announced second phase worth $16 billion. This completed the $50 billion worth of tariffs the US announced and further escalates trade tensions. China has retaliated as expected and applied the same 25% tariff on the same amount of imports from the US. In addition, China stated that it will file a complaint with the World Trade Organization about the...
Currency war, also known as competitive devaluations, is a condition in international affairs where countries seek to gain a trade advantage over other countries by causing the exchange rate of their currency to fall in relation to other currencies. Not only does the threat of a trade war impact the day-to-day of the currency markets, it is also related to a currency war where countries devalue their own currency so exports can be sold cheaper overseas in order to jumpstart the economy at home. The problem with currency wars – just like trade...
As developments around the trade war between the US and China are getting most of the media attention, a currency war is brewing underneath which could exacerbate the situation further. US President Trump insists that China and the EU are manipulating their respective currencies in order to maintain a trade advantage over the US. Reuters published an interview yesterday where Trump stated 'I think China’s manipulating their currency, absolutely. And I think the Euro is being manipulated also.' The US Dollar entered its fourth day of selling...
I love the book ‘Around the World in 80 Days’, written by Jules Verne. I am sure most of you know what the story is about, but to sum it up in short it is about a bet that the main character will be able to circumvent the planet in 80 days. In today’s world, this hardly poses a challenge. The story takes place in 1872 so you can see how it was a great feature if accomplished. The reason I love the book is because it deal with adventures during a travel around the world. I always wanted to travel, experience new cultures and try new things. My...
A key support level for the controversial cryptocurrency Bitcoin was able to prevent total collapse for the time being as it attracted enough bids which allowed a short-covering rally to unfold. Price action briefly moved into a horizontal support area between $5,540.00 and $5,925.05 when Bitcoin’s latest rout recorded an intra-day low of $5,749.93 and then another dip with an intra-day low of $5,840.70. A breakdown below $5,540.00 could spark a a new round of selling which is unlikely to be contained until it will dip to $1,802.00where next...
