Morgan Stanley on why trade tensions will persist.
China's current position seems stronger compared to last year
PBoC adviser Ma Jun called the impact of US tariffs on the Chinese economy "controllable"
- arguing that China has made bigger tax cuts than the US in recent months
- coupled with loosening monetary policy
- could help support the domestic economy and boost market resilience in the face of external shocks
China's stronger position may make it a more resilient negotiating partner, suggesting the trade tensions will likely stay with us for some more weeks.
