The U.S. trade deficit with China has fallen to its lowest level in close to 15 years. But it’s not necessarily because Americans are buying fewer Chinese goods. Many Chinese companies are moving operations to Mexico and shipping to the U.S. from there, taking advantage of the free trade agreement. This is bolstering Mexico’s economy and boosting its currency to the strongest its been against the dollar in nearly a decade. I’ll explain what’s happening.
Chapters:
0:00 U.S.-China trade war
0:40 The peso is soaring
1:08 Big flows of foreign money
2:00 Multinational companies
2:30 How this ties back to the trade war
I’m Dion Rabouin, a WSJ reporter covering markets and the economy. I’ll be diving into all things finance, from the popular and well-known — like crypto and stocks — to the complex and intricate — like leveraged loans, derivatives and private equity. Subscribe to join me as I take a deep dive into what’s making money move and why it matters.
#China #Mexico #DionRabouin