New York Times: Trade Disputes Threatens to Slowdown in Global Economy

(MENAFN – Youm7) The New York Times was worried about rising tensions over world trade last week, after the United States' tariff war with China resumed, causing severe market turmoil fellows as investors around the world feared an economic slowdown.

The S & P 500 index dropped to its worst stock market week this year, as stock markets in Tokyo and London fell on Friday, a day after Trump announced new rates for $ 300 billion. Chinese imports, one day after the suspension of negotiations. China reacted quickly. The new Beijing ambbadador to the United States, Zhang Jun, said the country's position was very clear: if the United States wants talks, we will talk, if they want to fight, then we will fight .

As the two sides moved away from the deal, a new trade confrontation between South Korea and Japan has created new uncertainty in the region, the New York Times reported. The Japanese cabinet has pbaded a bill to remove South Korea from the white list of trusted trading partners in response to the South Korean courts' decisions on forced labor in wartime.

A conflict could exacerbate fears of a global economic slowdown and threaten to freeze the US's economic expansion, the longest of all time.

The European Central Bank is preparing to try to revive the eurozone economy to help overcome the slowdown in growth, while China is experiencing its slowest economic growth of the last 27 years.

On Wednesday, the US Federal Reserve lowered interest rates for the first time in 10 years to overcome possible deflation.

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