More from BoE’s Lombardelli: Latest US-China discussions are good news

• Latest US-China discussions are good news, if reports are accurate.
• Progress on domestic inflation, not US tariffs, was the main factor behind my rate vote.
• Trade policy uncertainty will continue until there’s a permanent solution.

The US-China news is without a doubt the news of the day and most likely of the week. They brought down tariffs by much more than expected, so that’s a positive for global growth expectations.

It could end up fuelling some inflation in the short-term, so that’s going to be something to watch out for because it could force the central banks to take a longer pause on rate adjustments.

This article was written by Giuseppe Dellamotta at www.forexlive.com.