Inflows to US stocks from Europe have begun to pick up as the US moves into a more constructive phase in its bid to reduce its trade deficit.
Talks with China this weekend are the latest development in the US’s push to rebalance its trade. The current backdrop is more emollient compared to the initial phase of blanket tariffs using arbitrary formulae, then retaliatory tariffs and escalatory tactics. Some levies were paused for 90 days, the first trade deal with the UK was announced on Thursday, and now the US and China will sit down and try to iron out a deal.
