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China Debt Threat Continues | Fed Minutes Awaited
Published October 17, 2018
China’s holdings of US treasuries fell for a third consecutive month in August as the Asian nation struggles to prevent the yuan from weakening amid trade tensions with America. China’s ownership of US bonds, bills and notes fell to $1.165 trillion, down from $1.171 trillion.
Oil prices dipped after rising for three consecutive days, surrendering earlier gains on industry data showing a surprise decline in US crude inventories. WTI crude prices have hit a low of $71.17.
President Donald Trump’s renegotiated trade deal with Mexico and Canada won’t get a vote in Congress this year, said Senate majority leader, Mitch McConnell, which sets up a potential contentious fight with Democrats next year over a signature White House accomplishment.
Euro zone countries must each ensure their budgets are stable and economies competitive, Chancellor Angela Merkel said ahead of a European Union summit on Wednesday. Italy is currently weighing expansionary budget plans that risk EU rejection.