Washington: Talks with China "do not dispel doubts"[/rtl]
[rtl]Editorial Date: 2019/7/11 9:20 • 79 times scheduled[/rtl]
(AFP) - US Federal Reserve Chairman Jerome Powell confirmed on Wednesday that the resumption of trade talks between China and the United States is a "constructive phase" but "does not dispel doubts."
Powell told a congressional committee that the tariff war, announced by Washington and Beijing after the G20 summit in Osaka, Japan, at the end of June, was "relatively good news."
"We have agreed to resume discussions with China, which is a constructive stage but does not dispel doubts about the economic prospects," the Fed chairman said.
"The data are still disappointing both in Europe and in Asia, and this is still affecting. The trade in manufacturing goods and investments is weak everywhere in the world," he said.
The government will publish its first growth estimate for the second quarter of this year on July 26, ahead of the next Fed meeting on July 30 and 31. A large part of the financial sector is counting on cutting interest rates at this meeting.
The Fed should carefully study this figure, which is the basis for US GDP growth, especially through the scrutiny of consumption expenditures that traditionally promote growth, as well as manufacturing sector production and corporate investments that have slowed recently.