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Scoop.it!
The US president blames China but even a basic understanding of economics shows it’s his own policies that bloat the dollar 
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Scoop.it!
China commits to ‘significantly increase purchases’ of US products but no mention of $200bn cut to its trade surplus
Graham Watson's insight:
The Guardian reports that the US and China have reached an agreement about starting to reduce the Chinese trade surplus/US trade deficit, although quite how remains unclear.
Keynes would have approved - it was his view that trade imbalances should be tackled by those countries running surpluses because it would be easier for them to do so.
However, is today's story good economics - is not the biggest issue here the fact that the US consumes to much and needs to refocus its economy to save more and as a consequences the deficit will be decreased. Lots to ponder.
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Scoop.it!
June's data suggests no significant impact from the US-China trade war but some expect a fall next month.
Graham Watson's insight:
It's almost beyond comment: the Chinese trade surplus with the US reached a record high last month, but is likely to fall as tariffs take effect.
And who's going to gain from this? Very, very few people.
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I'm a cynic. But this is one of the more interesting recent Project Syndicate articles, that looks at reasons for the continued strength of the dollar, and why President Trump's attempts to suggest that Chinese manipulation of their currency is to blame.
Not only does it deal with the technicalities of why China can't be accused of currency manipulation on the basis of the current definition, it also explains why his own economic policies have helped buttress the dollar.