#US-China relations

#US-China relations

The dollar index traded within a narrow range on Monday as easing US-China tensions provided support to the greenback. Market sentiment improved slightly after President Donald Trump signalled that broad tariffs on China would be unsustainable and negotiators from both sides confirmed plans for renewed talks in the coming days. Any progress this week could reinforce risk appetite and support the dollar, while setbacks could quickly reverse the tone.

Treasury secretary Scott Bessent told an event on Wednesday that China's dramatic new restrictions on rare earth minerals and magnets demonstrated the need for the US to be self-sufficient in critical materials or rely more on trusted allies. This should be a clear sign to our allies that we must work together, and work together we will. We are not going to let a group of bureaucrats in Beijing try to manage the global supply chains.

Stocks had been heading for a slight gain in the morning, until Trump took to his social media platform and said he's considering "a massive increase of tariffs" on Chinese imports. He's upset at restrictions China has placed on exports of its rare earths, which are materials that are critical for the manufacturing of everything from consumer electronics to jet engines.

Recent speculation about Tim Cook's potential departure from Apple has reached a crescendo, fueled not only by his approaching 65th birthday next month but also by broader questions about his leadership in an increasingly complex global landscape. While Cook has made no official announcement about stepping down, industry watchers note that his tenure has been marked by challenging geopolitical pressures that may be weighing on the famously private executive.

U.S. financial markets rallied this week as the Federal Reserve lowered interest rates for the first time since December 2024, cutting by a quarter of a percentage point. The move had been widely anticipated, but it reassured investors that the central bank is ready to support growth as the labour market shows signs of softening. The Fed's updated projections suggest that policymakers expect further cuts of up to half a percentage point

The decision, which may still be reversed, marks a U-turn inU.S. policy toward the self-governing island nation that China claims as its own territory, said the people, who spoke on the condition of anonymity to discuss internal deliberations. Two people familiar with the matter said the package was worth more than $400 million and would have been "more lethal" than past rounds of aid to Taiwan, including munitions and autonomous drones.

Yuanjun Tang, 68, had long been an outspoken critic of the Chinese Communist Party, joining monthly protests outside the country's Manhattan consulate and founding a pro-democracy nonprofit in Flushing, Queens, where he has lived since 2002. But as he publicly advocated against his homeland's government, Tang was quietly acting on orders from Beijing's intelligence service to collect information on his fellow Chinese American activists, according to a guilty plea entered Tuesday.

From the "Love Island" villa to the Coldplay "kiss cam," it's been a summer full of interesting relationships. However, President Donald Trump and Fed Chair Jerome Powell's relationship, or lack thereof, has the biggest impact on the business world. Powell's decision to keep rates steady this summer only fueled the fire. And Trump's ire for Powell has now extended to some of his colleagues, who are also fighting back.