As of May 10, trade talks between the United States and China had stalled. Then on May 13, China retaliated by raising tariffs up to 25 percent on $60 billion worth of U.S. products. There’s also the possibility that China will sell a significant portion of U.S. Treasury bonds as well as the trade war heats up.
How far will things go before both sides agree to reconsider? That remains to be seen, but optimism may be misplaced at this point.
