U.S. stocks rose 1 percent on Wednesday, boosted by technology stocks, as a report about China planning to increase access for foreign firms added to optimism fueled by President Donald Trump’s upbeat comments on trade. China’s economy has already been impacted, economists expect the trade war will cut China’s export growth by almost half to 5.1 percent in 2019. The 25 percent tariffs on US $250 billion worth of imports from China would reduce China’s exports by 5.6 percentage points, denting GDP growth by 1.04 percentage points. There are other countries waiting in the wings to replace China’s exports, such as India, Vietnam, and such.
The Canadian dollar has improved based on this news, but there is still no clear direction, everything is based on the next newscast.
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