Chinese Commerce Minister, Zhong Shan has described recent talks with the US as “very exhausting “ and “very difficult”.

It has been rumoured that the two sides are getting close to an agreement on ending the trade war that commenced in July 2018. 

The progress made in talks has prompted the Trump Administration to drop the idea of increasing the tariff rate on $200bn worth of Chinese goods to 25%.

Currency Pair% Change in 1 monthDifference on £200,000

There could be a deal signed by Chinese President Xi Jinping and US President Donald Trump by the end of the month during a planned meeting in Florida.

“I’d say it’s hard and difficult because the two countries have huge differences in their institutions, cultures and stages of development. The two sides had to make extra efforts to reach consensus, so it was very difficult, it is very hard,” Zhong said.


Continuing tensions between the US and China likely to impact USD

“The negotiations was also exhausting because the time available for negotiation was very limited – we were originally scheduled for two days and then the talks were extended for another two days, but the time was still very limited. Our team worked overtime and overnight.” He added.

Zhong had accompanied Chief Trade Negotiator Liu He to Washington for the last round of talks in February and they described the talks as fruitful and the two sides had made substantial progress.

The office of US trade representative confirmed during last week that the scheduled tariff increase on Chinese goods would be suspended until further notice.

If a deal is reached this could result in US dollar strength.

Non-Farm Payrolls

The release of Non-Farm Payroll data takes place on the first Friday of each month and is historically very hard to predict. The release can create short term market movement.

It represents new jobs created during the previous month, minus the agricultural sector.


Read more articles


Download our monthly currency forecast

Download here
Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.