This seems to be the first step on the road in what is going to be a long drawn out process, if there appears to be a genuine intent on both sides to use this summit as a platform for a serious negotiation of a peace treaty, I guess that's what success would look like today.

Ray Attrill

Categorized in : Business

Nothing has happened in the last 24 hours to dissuade us from the view that we are headed in the direction of an Article 50 delay, a softer Brexit or no Brexit, but it remains too soon to be buying sterling with your ears pinned back.

The data was very weak and it just adds to the incentives for the Chinese side to strike a trade deal with the U.S. in the coming weeks, you could argue that the worse the numbers are the more incentive it provides to resolve the dispute.

You could argue that the worse the numbers are the more incentive it provides to resolve the dispute, it also amplifies the extent to which they (Chinese policymakers) have to provide stimulus for the domestic economy.

If there appears to be a genuine intent on both sides to use this summit as a platform for a serious negotiation of a peace treaty, I guess that's what success would look like today, nobody is expecting a peace treaty today, that is being overly optimistic. But if this turns out to be a complete failure there might be some implications for risk assets.