All articles tagged with #china deflation
US tariffs have so far had limited impact on inflation domestically but may lead to higher prices for American consumers, while potentially exerting a mild disinflationary effect on the global economy due to lack of retaliation from other countries. China faces a more severe deflationary impact from US tariffs, affecting its export-dependent economy negatively. Overall, the tariffs are reshaping inflation and trade dynamics worldwide.
Major cryptocurrencies like Bitcoin, XRP, and Dogecoin showed little movement despite positive Asian stock market reactions to U.S.-China trade negotiations. The Hang Seng index rose above 24,000, driven by trade optimism, while China's ongoing deflation and falling producer prices raise concerns about economic slowdown. U.S. inflation data due Wednesday is expected to show slight increases, potentially impacting markets and Federal Reserve policies.
Asian shares weakened slightly as China slipped into deflation in July, raising concerns about the global economic growth outlook. European futures rose after Italy announced that its new tax on banks would not exceed 0.1% of total assets. US bank shares fell following Moody's downgrades, while longer-term Treasury yields slipped. The Italian government's decision to impose a 40% tax on bank profits from higher interest rates rattled regional banking shares. Oil prices and the US dollar experienced slight declines, while gold prices rose.