American small and medium-size companies that rely on China are scrambling to adjust their business plans in response to the escalating trade war.Traderead more
Here are the products that stand to be the most affected by China's new tariffs on $75 billion worth of U.S. goods.Marketsread more
Trump said he will raise tariffs on $250 billion in Chinese goods to 30% and hike duties on another $300 billion in products to 15%.Politicsread more
China said on Saturday it strongly opposes Washington's decision to levy additional tariffs on $550 billion worth of Chinese goods and warned the United States of consequences...Politicsread more
The European Union will respond in kind if the U.S. imposes tariffs on France over digital tax plan, EU chief Donald Tusk told G-7.Technologyread more
Stocks dropped after Donald Trump ordered that U.S. manufacturers find alternatives to their operations in China.US Marketsread more
The final week of August could be highly volatile as markets fret over the economy and the latest developments in trade wars.Market Insiderread more
Federal Reserve Vice Chair Richard Clarida said Friday that the global economy has deteriorated in the past month.Marketsread more
The latest escalation in the trade war ups the odds the economy will fall into recession and that the Fed will aggressively cut rates.Market Insiderread more
"We don't need China and, frankly, would be far better off without them," Trump tweeted.Politicsread more
Recent trade friction between the two Asian powerhouses has morphed into a dispute with political implications that go far beyond the region.Asia Politicsread more
Former Treasury Secretary Larry Summers has put the chances of a U.S. recession at 50 percent within the next two years.
The economist told CNBC's Joumanna Bercetche on Thursday that a slowdown in growth was a "near certainty" before adding "the recession risk is nearly 50 percent over the next two years, maybe slightly less."
Summers, who served in Bill Clinton's administration, said while any economy in expansion has a good chance of reversing course, U.S. growth is likely to be checked by unsettled financial markets, geopolitical tension and the Federal Reserve's tightening cycle.
The economist has previously criticized President Donald Trump for attempting to influence the Fed's monetary policy. Trump has expressed concern the Fed could choke off growth by raising interest rates too quickly.
Despite disagreeing with statements from Washington, Summers says the Fed should be careful about raising rates too quickly.
"I think the risks if we have a recession are very, very serious so they need to bend over backward to avoid that," he said. He added that the Fed could probably afford to let inflation run hot, given the sub-target rate experienced over the previous decade.
On the potential for a bipartisan deal to build infrastructure in the United States, Summers was enthusiastic.
"It is crazy that a country that can borrow for 30 years at 3 percent in a currency that we print ourselves isn't repairing its airports, our highways, and isn't putting in place a modern infrastructure."
Summers said ideas for infrastructure should come from both Republicans and Democrats but his "best guess" was that divisiveness in Washington would stifle the passage of an infrastructure bill.