Robert Rennie, Research Analyst at Westpac, suggests that now when Trump agreed with EU Commission President Juncker to “work together toward zero tariffs”, will that mean that tariffs have gone from ‘hero to zero’ in Trump’s mind? Key Quotes “We think not. Indeed, while we might be reading too much into the ‘art of the trade deal’, our sense is that the US administration may be emboldened and actually double down on the China tariff strategy to try to force ‘fair trade’ agreements there.” “This would suggest that we have further waves of China tariffs still to come; and if we use the timeline for the section 301 investigation into China’s trade acts, policies & practices across, we would expect to see further tariffs end of July ($16bn) and end of early Sep ($200bn).” “Indeed, with support for farmers impacted by Chinese retaliation announced by the US administration this week and Trump suggesting last week on CNBC that he was “ready to go to 500″, we would not be surprised to see further tariff action beyond that ahead of the mid-terms.” “Now that is not to say that plurilateral trade agreements between the US and Europe are not a positive outcome – of course they are! Rather we should not read too much into the current outbreak of positive trade news as more negative waves are coming, suggesting near term US$ weakness will not last too long.” “On top of the above, a ‘4 handle’ for GDP this Friday, a solid ISM, a punchy payrolls and an FOMC meeting that will likely continue pointing towards Sep and Dec moves should all help limit downside for the US$ near term, and potentially reverse it in August.” “Thus we stick with the ‘fade US$ weakness view’, though acknowledge that we could see a test back into the ‘mid 93s’ on DXY near term.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next DXY Technical Analysis: pullback met contention at the support line above 94.00. FX Street 5 years Robert Rennie, Research Analyst at Westpac, suggests that now when Trump agreed with EU Commission President Juncker to "work together toward zero tariffs", will that mean that tariffs have gone from 'hero to zero' in Trump's mind? Key Quotes "We think not. Indeed, while we might be reading too much into the 'art of the trade deal', our sense is that the US administration may be emboldened and actually double down on the China tariff strategy to try to force 'fair trade' agreements there." "This would suggest that we have further waves of China tariffs still to come; and if… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.