U.S.-China trade talks resume on October 10, a high stakes negotiation that leaves the global economy in the balance. Bloomberg reported that China is likely going to attempt to narrow the talks, removing any proposal of reforms to industrial policy and intellectual property. With the Trump administration on the backfoot due to a weakening economy and a mushrooming impeachment investigation, Beijing may believe it has the upper hand. That does not bode well for a trade breakthrough.
Trump plans Syria withdrawal. Turning back on a longstanding partnership with Kurdish allies, President Trump said that Turkey was free to launch an invasion to sweep aside Kurdish fighters in Northern Syria. The move sparked a bipartisan rebuke, denouncing Trump for abandoning allies.
China pulls out of Iran gas project. CNCP has exited a $5 billion natural gas project in Iran due to pressure from U.S. sanctions. Iran had hoped that CNPC would take over from Total SA (NYSE: TOT), which withdrew in the face of sanctions last year. The departure of CNPC is another blow to the Iranian economy.
Sec. Perry engulfed in impeachment inquiry. Secretary of Energy Rick Perry reportedly attempted to install two U.S. executives onto the board of Ukraine’s Naftogaz, sweeping him into the center of the impeachment inquiry in the United States. He has denied any involvement.