Optimism about phase one China deal 'premature, if not misplaced' - report
Axios says China unhappy with Hong Kong bill
Trump is expected to hold off on implementing December 15 tariffs to keep talks alive but a deal isn't likely this year, according to a new report from Axios.
A week ago, U.S. sources close to the China talks indicated they were on the precipice of a "Phase One" deal. But that optimism now seems premature, if not misplaced.
The report says the deal is now stalled because of the Hong Kong legislation and may only happen at "year-end at the earliest."
Top issues that remain outstanding are how much tariffs to roll back, enforcement and how China will guarantee US agricultural purchases.
This is negative trade news to start the week but markets have been able to brush off pessimism in the past, especially since it says that Dec 15 tariffs are unlikely. Read it here.