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Janet Mui: weekly economic update 17 January

China-US trade deal draws a line under hostilities for now – and should help stabilise China's 2020 growth. In the UK, the likelihood grows of a month-end rate cut.

17/01/2020
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Authors

Janet Mui
Global Economist, Cazenove Capital
  • The first-stage China-US trade deal leaves issues unresolved but draws an end to hostilities – for now.
  • We've yet to see whether some of the terms of the agreement will prove to be achievable, and what that might mean for future negotiations.
  • China's GDP data, released at the end of this week, showed growth at the lowest in 29 years. However, we see the de-escalation of the trade conflict with the US helping stabilise growth in 2020 and beyond.
  • UK data continues to disappoint – indicating a high likelihood of a rate cut at the end of January.

 

 

Authors

Janet Mui
Global Economist, Cazenove Capital

Topics

The value of an investment and the income from it may go down as well as up and investors may not get back the amount originally invested.