U.S. President Donald Trump on Friday said his contentious tariff policy was “doing really well” as China slapped a massive 125% tariff on U.S. products. The latest development of the US-China trade war has caused global markets to go into chaos with the dollar plummeting and share prices crashing around.
US government bonds were dumped after China’s counterattack, and the dollar at one point against the euro fall to a 3 1/2 years low. Trump tried to ease the markets advising the press that the dollar stays a very “strong” option to investors. But the economic pain is clear, the Federal Reserve is cautioning of inflation and slower growth from the tariffs.
Regardless of the tensions, Trump was optimistic about striking a deal with China, citing his decades-long friendship with Xi Jinping. But Xi stood firm, urging EU and China cooperation to push against U.S. “unilateral bullying.” 
Economists have, however, expressed significant worries about the tariffs’ … As temperatures continue to rise, the world’s markets are struggling to deal with the economic fallout of this very high-stakes trade war.
