The Chinese and US data and a much-awaited news conference by Donald Trump that is scheduled next week are expected to reveal latest stats of the world’s two most powerful economies and the current relation shared between them.
Trump is likely to take charge of the office on January 20th, hence, the timing of the conference becomes more crucial. It will be his first press conference after winning the elections in November. Investors will be looking forward to any internal information that he might disclose regarding the present economic status of both the countries.
Trump might use the conference as an opportunity to talk about key priorities, which may include topics such as tax reforms, his opinions on China trade and infrastructure investment plans. Experts are also apprehensive towards the broad political and economic impacts of Trump’s relation with other countries. His ideas of trade and foreign policies are going to influence the real economy. Some of the economists are of the view that Trump’s economic ideologies may lead to a trade war with Mexico or China and further downsize the growth US economic. The possibilities of intensive investment under Trump to create jobs in many of the Rush Belt states in the country that rolled the election in his favor has lifted consumer sentiments to a greater length.
A device of the sentiment could be the Country’s retail sales data recorded in the last month. Some experts suggest that the sales figures will witness a marginal rise in January. As the year progresses, the US tax cut and wage growth overshadowing the recent hike in oil prices and interest rates to keep consumers propelling the economy forward.
Growing interest rates and hiked up gasoline rates will not bother the consumer sector, however, the prospects for lowered personal taxes and solid labor wages will eventually trigger a shrink in consumption growth.
Summary: Investors anxiously wait for the first press conference of the US president-elect Donald Trump