According to Greg Gibbs, Analyst at Amplifying Global FX Capital, the real economic impact of US trade restrictions is a complex task, but the immediate presumption is that it will reduce trade flows and slow global growth. Key Quotes “The market reaction so far suggests that China and its Asian trading partners that form part of a highly integrated supply chain have more to lose than the USA.” “However, the USA economy is not expected to be a net winner from a trade war. China is not without market clout, and tariffs increase costs on the US economy.” “As such, bond yields globally are somewhat lower and global equity markets are weaker. Asian equities have been hit the hardest in the last week. Asian currencies have also been relatively weak.” “Weaker currencies should help Asian economies absorb the downside risk from a trade war, helping bolster after tariff export returns, and helping them compete in a diminished export market.” “It is too early to know if the further depreciation seen in the last week is enough. The risk is that Asian currencies continue to weaken beyond what might ultimately be justified by the trade war as investors seek to avoid the greater uncertainty.” “Uncertainty over the economic impact is compounded by the wide range of potential retaliatory measures, and policies to compensate for weaker potential growth.” 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 OPEC’s Barkindo: Confident there will be a deal on Friday FX Street 5 years According to Greg Gibbs, Analyst at Amplifying Global FX Capital, the real economic impact of US trade restrictions is a complex task, but the immediate presumption is that it will reduce trade flows and slow global growth. Key Quotes "The market reaction so far suggests that China and its Asian trading partners that form part of a highly integrated supply chain have more to lose than the USA." "However, the USA economy is not expected to be a net winner from a trade war. China is not without market clout, and tariffs increase costs on the US economy." "As… 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.