Markets are largely pricing in the likelihood of some sort of trade deal, despite the fact that the U.S. & China appear to be hardening their stances.

Markets are largely pricing in the likelihood of some sort of trade deal, despite the fact that the U.S. & China appear to be hardening their stances. A May @BofAML survey shows 85% of credit investors expect a deal on trade while only 10% expect escalation into trade war.

— Lisa Abramowicz (@lisaabramowicz1) May 20, 2019

20 May – 11:13:12 AM [RTRS] – MORGAN STANLEY: IF U.S.-CHINA DON'T AGREE TRADE DEAL AND U.S. IMPOSES 25% TARIFFS ON THE REMAINING $300 BILLION OF IMPORTS FROM CHINA, WE SEE THE GLOBAL ECONOMY HEADING TOWARDS RECESSION pic.twitter.com/46ajPbVRWs

— Alastair (@StockBoardAsset) May 20, 2019

.
"We don't know what this agreement is the United States is talking about. Perhaps the United States has an agreement they all along had extravagant expectations for, but it's certainly not a so-called agreement that China agreed to," he told a daily news briefing. pic.twitter.com/LPiZyPlHz6

— Alastair (@StockBoardAsset) May 20, 2019

Signaling concerns over the U.S.-China trade conflict, big companies curbed their spending in the first quarter https://t.co/vHts4oPUbE via @WSJ

— M/1_LP (@MI_Investments) May 20, 2019

Chinese President #XiJinping visits #RareEarth mining and processing base on Monday amid escalating trade tensions, intensifying speculation that Beijing could consider banning export of the minerals as a weapon in the trade war. https://t.co/2U25ZJwQFt

— Y&T Intelligence (@YuanTalks) May 20, 2019

WSJ…. pic.twitter.com/4IUsNf3dA5

— M/1_LP (@MI_Investments) May 20, 2019