This Week In Economy: Investors Watch Over China-U.S. Trade Talks, ECB To Enthrone New Chief Economist
China and the U.S. are set to resume trade talks in Beijing later this week and investors across the globe are closely watching the delegations' every move. This cautious approach was triggered by earlier reports that an agreement draft is not yet on the table.
During the weekend, The Wall Street Journal reported that both sides have not yet come up with a draft that states which aspects of trade they agree or disagree on. The Chinese and American delegations are trying to strike a deal before the tariff truce ends early March.
On Thursday, White House economic Larry Kudlow noted that there is a "pretty sizable distance to go" before a deal is finally reached. On the other hand, Kudlow stressed that U.S. President Donald Trump is positively hoping that the two countries will agree on an amicable deal.
Kudlow's comments came after Trump said he won't meet with Chinese President Xi Jinping before the March 1 deadline arrives. His statements have been widely attributed to his preparations for the upcoming summit with North Korea's Kim Jong Un.
Ahead of the much-anticipated China-U.S. trade talks, Asian markets closed with mixed figures on Monday. Samsung Electronics stocks declined by 0.67 percent while ASX 200 slipped at 0.19 percent. The Commonwealth Bank of Australia also dropped 1.08 percent while South Korea's Kospi didn't see many changes.
Meanwhile, the European Central Bank is set to enthrone a new chief economist. Governor Philip Lane has been nominated for the post and according to the Irish Times, a decision is expected to be made on Monday. The news came after it was announced that Governor Mark Carney will step down.
The outlet noted that Lane will become the first Irish board representative in the bank's history if he receives a majority vote for the position. Lane was educated in Harvard and also served as a professor at the Trinity College.
President of the European Central Bank, Mario Draghi is also scheduled to step down from his post in October. He has been credited for largely helping restore confidence in the euro amid debt disputes.
Also this week, the Bioenergy Future Island conference will be held in Dublin, alongside the European Financial Forum wherein senior executives from the financial industry will meet to discuss which disruptive factors are affecting the European economy and how these issues can be resolved.
Dublin will be a busy site this week as the CIPD HR Awards will be held at the InterContinental Hotel while the Central Bank 2019 Insurance Conference will be hosted by the Irish capital's Convention Centre.