The United States and China were set again a new round of high level trade talks to bridge their deep differences.
Cabinet-level officials are due to begin two days of talks at 9 a.m. EST (1400 GMT) next door to the White House. About a month left in a 90-day trade truce agreed in December by President Trump and President Xi Jinping. Talks will focus on China’s intellectual property and technology transfer policies.
People familiar with the talks and trade experts say that, so far, there has been little indication that Chinese officials are willing to address core U.S. demands. US demands aim to protect American intellectual property rights and end policies that Washington says force U.S. companies to transfer technology to Chinese firms.
The U.S. complaints were used by the Trump administration to justify punitive U.S. tariffs on $250 billion of Chinese imports. Trump has threatened to raise tariffs on $200 billion of goods to 25% on March 2 if an agreement cannot be reached. He has also threatened new tariffs on the remainder of Chinese goods shipped to the United States.
Forex – Commodities – High level trade talks among U.S. and China
START TRADINGThe dollar edged higher on Wednesday, bolstered by data showing strong U.S. private sector jobs growth for December. However, gains were capped on caution ahead of the FED statement at the conclusion of its policy meeting. The dollar index advanced for a second straight session, paced by gains against the euro and yen.
In mid-morning trading, the dollar index rose 0.1% to 95.958.
The dollar rose 0.2% against the yen to 109.67 and was up 0.4% versus the Swiss franc at 0.9987 franc.
The euro fell 0.2 percent to $1.1412. The European Central Bank is expected to hold off tightening until year end.
The Sterling rose on Wednesday after declines triggered by the UK parliament’s rejection of amendments to delay Brexit. Investors bet the government would still avoid Brexit without an agreed trade deal in place. The pound fell 0.7% on Tuesday.
By 0830 GMT, sterling had risen 0.3% to $1.3111. It had fallen by about a cent on Tuesday after the vote.
Further, against the euro, the pound rose around 0.15% to 87.4 pence.
Sources: Reuters, Investing, CNN money
PLEASE NOTE The information above is not investment advice.