China says ‘No one will win a trade war’ after Trump tariff threat

Trump threatened tariffs on Canada, Mexico, and more on China earlier:

• Trump threatens a 25% tariff on Mexico and Canada

A statement from the Washington Chinese Embassy

• “About the issue of US tariffs on China, China believes that
  China-US economic and trade cooperation is mutually beneficial
  in nature”
• “No one will win a trade war or a tariff war”
• “The Chinese side has notified the US side of the progress
  made in US-related law enforcement operations against
  narcotics,”
• “All these prove that the idea of China knowingly allowing
  fentanyl precursors to flow into the United States runs
  completely counter to facts and reality”

Trump will be sworn in on January 20. We are just seeing sparring at this stage.

FX was slammed lower on the news (linked above) earlier, especially commodity currencies and, of course, the yuan. Its time for traders to prepare ahead of the opportunities to be served up for the next four years:

• Now is probably a really great time to remember the market chaos of 2016-2020

This article was written by Eamonn Sheridan at www.forexlive.com.