Nov 4, 2019

The Chinese yuan could move back below 7 per dollar soon

Data: Investing.com; Chart: Andrew Witherspoon/Axios

The Chinese yuan has weakened significantly against the dollar since Trump announced the U.S. would add 10% tariffs on $300 billion worth of Chinese imports, in addition to the 25% already levied on $250 billion worth of Chinese goods on Aug. 1.

Why it matters: But since the "Phase 1" trade deal, the yuan has strengthened and is close to falling back below 7-to-1 versus the dollar.

Background: The yuan broke through the psychologically important 7-per-dollar barrier soon after Trump announced the tariffs, as China's central bank stopped defending it and allowed it to fall to its weakest level against the dollar since 2008 in late August.

Go deeper: Central banks want more gold, fewer dollars

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Dollar Tree says the U.S.-China trade war will cost it $19 million in Q4

A Dollar Tree store in California. Photo: Frederic J. Brown/AFP via Getty Images

Dollar Tree said acceleration of the trade war with China would up its costs by $19 million in Q4.

Why it matters: Even as the Trump administration says it’s close to a "phase one" trade deal with China, corporations are bearing down and preparing Wall Street for the worst-case scenario.

Go deeperArrowNov 27, 2019

Wilbur Ross says December tariff hike likely without China breakthrough

Commcerce Secretary Wilbur Ross during a cabinet meeting on Oct. 21. Photo: Alex Wong/Getty Images

Commerce Secretary Wilbur Ross said Monday on Fox Business that time is running out for the U.S. and China to agree on a trade deal before Dec. 15, when the U.S. is set to impose an additional 15% tariff on around $156 billion worth of Chinese goods.

Why it matters: Future tariff hikes would likely further squeeze the U.S. and Chinese economies, dragging down already declining business investment in the U.S. and possibly pushing the manufacturing industry into a deeper recession.

Go deeperArrowDec 2, 2019

WSJ: Tariff revenue spiked to a record $7 billion in September

A truck passes by China shipping containers at the Port of Los Angeles. Photo: Mark Ralston/AFP via Getty Images

The U.S. amassed $7 billion in import tariffs in September, a 9% jump from figures in August and a 59% year-over-year increase due to new taxes on consumer goods, figures compiled by the Commerce Department show, per the Wall Street Journal.

Why it matters: President Trump has falsely said China is paying for the tariffs. Business executives and economists generally recognize the revenue as a growing burden on American importers and U.S. customers.

Go deeperArrowNov 6, 2019