U.S. Economic News
August 28, 2019
U.S. News
The Financial Times reports that analysts have lowered profit expectations for U.S. corporations by the largest margin in three years as the trade war with China and a dimming global economic outlook weigh on earnings and expansion plans. Last month, the Bureau of Economic Analysis made a significant downward revision to 2018 corporate profits, lowering its previous estimate by $188 billion. FT
Matt Phillips reports for the New York Times that the recent decline in China’s stockpile of dollars suggests that China is selling dollars and buying renminbi in an attempt to prop up China’s currency, rather than intentionally devaluing it to offset impacts of the trade war. Much of the renminbi’s recent decline can be attributed to economic factors largely outside of Beijing’s control, including weakening global demand for Chinese exports. NYT