6/10/2019

CHINA/MEXICO/TARIFFS/TRADE DEALS/TRUMP AS PRESIDENT: “President Trump has concluded his tariff threat worked and forced Mexico to stop the flow of migrants. On Monday [6-10-19], he pivoted back to his trade fight with China and vowed to hit Beijing with more tariffs if it did not accede to America’s trade demands…The president has long favored tariffs as an immediate and unilateral policy tool. But his increasing confidence that the levies have helped accomplish his goals without harming the United States sets up an even more tumultuous period ahead for businesses, consumers and foreign countries…Markets are already counting on the Federal Reserve to come to the rescue by cutting interest rates. Fed officials have begun signaling they are prepared to help prop up the economy to counter any slowdown from Mr. Trump’s trade war, a development that could give the president even more leeway to carry out an aggressive trade policy.

Ana Swanson and Jeanna Smialek, “Trump Says Mexico Tariffs Worked, Emboldening Trade Fight With China,” The New York Times online, June 10, 2019