US-China trade war remains to be a material threat, says JPMorgan’s Jahangir Aziz

Jahangir Aziz, head of Emerging Markets Economic Research at JPMorgan, on Wednesday said that the US-China trade war remains to be a material threat and added that both the parties were unlikely to reach a trade deal without getting a deal on the non-trade front, which he thinks is the biggest concern.

“I think that already has a significant impact, not on the trade front but on the non-trade front in terms of the impact it had on global business confidence and global capex; global capex is one of the lowest we have seen in several years at this point in time,” said Aziz.

“Therefore, the trade war remains a very material threat and it is difficult to see how the two parties can come to a quick resolution on the trade front,” he added.