A last-gasp deal to salvage the North American Free Trade Agreement (NAFTA) does nothing to improve the prospect of a meaningful breakthrough in the U.S.-China trade war, one market expert told CNBC on Monday.
Just hours before a midnight deadline, U.S. and Canadian officials reached a deal to revamp NAFTA, which also includes Mexico, after more than a year of grueling negotiations.
Until recently, Canada appeared to be on the brink of being excluded from a final agreement but negotiations over the weekend eventually culminated in all three countries signing up to the new United States-Mexico-Canada (USMCA) accord.
However, one market expert cautioned the new NAFTA deal shouldn’t be seen as a sign that there could soon be a breakthrough in troubled trade relations between the U.S. and China.
“I do believe that unfortunately the China story is a lot more complicated (than NAFTA talks),” Luis Costa, head of CEEMEA FX and rates strategy at Citibank, told CNBC’s “Squawk Box Europe” on Monday.
via CNBC
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Alfonso Esparza
Latest posts by Alfonso Esparza (see all)
- Market Rally Still Going Low Holiday Volumes Awaiting Start of 2020 - 27 December 2019
- Market Awaits China Retaliation on Trade - 29 November 2019
- Alibaba to Close Order Book Ahead of Huge IPO - 18 November 2019