City Index: US and China call truce, global outlook still weighs on Fed

Greenback may be bolstered in short term, but range trading expected over medium term

business-shelter-negative-outlook
Take cover: potential tariffs on EU risk further slowdown in global growth

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The prospect of a rate hike from the US Federal Reserve is fading quickly amid uncertainty around the potential outcome of resumed trade talks between the world’s two largest economies.

At the end of June, US president Donald Trump announced that he and his counterpart in China, President Xi Jinping, had agreed to halt tariffs on a proposed $350 billion of Chinese imports and suspend a ban on US companies selling

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