U.S. Economic News
May 29, 2019
U.S. News
The Wall Street Journal reports that the U.S. Treasury Department declined to designate China as a currency manipulator in its latest semiannual report but acknowledged significant concerns about China’s currency practices. The Treasury is closely monitoring China and other countries for signs of intentional currency devaluation to make exports more attractive to U.S. markets. WSJ
According to the Financial Times, China’s state planning body has suggested using rare earth metal exports as leverage in the trade conflict with the U.S. China dominates the global supply of rare earth metals, but currently exports very few directly to the U.S. FT
The Financial Times reports that investors are anticipating the Fed will cut rates twice in 2019, countering the effects of slowing global economic growth exacerbated by the U.S.-China trade war. Although futures prices have been signaling a rate cut for several months, Fed officials have maintained that their next move could be in either direction. FT