In today's episode, we explore the landmark agreement between the United States and China to reduce tariffs, easing trade tensions temporarily. We also delve into the implications of Moody's downgrading the US credit rating due to rising debt concerns. Despite these challenges, US financial markets show remarkable resilience, with major indices closing higher. Join us for an in-depth analysis of these developments and their impact on global economic relations.

Sources:

https://www.hinrichfoundation.com/research/what-we-are-reading/two-deals-but-little-certainty/

https://www.gibsondunn.com/stepping-away-from-the-brink-us-china-trade-deal-offers-90-day-tariff-reduction/

https://www.whitecase.com/insight-alert/united-states-and-china-agree-partially-de-escalate-april-tariffs

https://simplyethical.com/blog/us-china-tariffs-truce-90-days-pause/

https://www.pbs.org/newshour/economy/analysis-trumps-truce-with-china-on-tariffs-comes-at-a-cost-to-u-s-credibility

https://www.dwassetmgmt.com/blog/the-pulse-global-economic-and-market-news-for-tuesday-may-20-2025