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US-China Trade War Could Induce Inflation Ramifications

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The Trump administration announced Tuesday that it is prepared to impose 10% tariffs on $200 billion of Chinese-made products, ranging from clothing to television parts to refrigerators. Together with other tariffs already in the works, the latest move threatens to raise import prices on almost half of everything the U.S. buys from China.
One of the biggest disruptions to US equity and bond markets that could be caused by the escalating trade war comes in the form of inflation. Producer price...

 

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