Global Market Outlook

Geopolitical Events Could Rattle Markets

David R. Giroux, Chief Investment Officer for Equity and Multi-Asset

Executive Summary

If China is willing to make concessions to the U.S.–such as decreasing its trade surplus, buying more American goods, and increasing protections on Western intellectual property–would it satisfy the Trump administration? We’ve conducted nearly a dozen due diligence calls with Chinese experts trying to understand their perspective. Based on those discussions, Portfolio Manager David Giroux believes that China is willing to do so, and that the odds of a U.S.–China trade resolution are higher than the market perceives.

Key Highlights

  • Mr. Giroux believes that China would like to settle the trade war.
  • The question then would be, does the Trump administration believe that China would hold up its end of a deal and, if so, would that be enough to reach a resolution?
  • We believe the political and economic benefits of reaching an agreement make the odds of a resolution higher than prevailing market assumptions.

Important Information

Download a prospectus.

This material is provided for informational purposes only and is not intended to be investment advice or a recommendation to take any particular investment action.

The views contained herein are those of the authors as of January 2019 and are subject to change without notice; these views may differ from those of other T. Rowe Price associates.

Information contained herein is based upon sources we consider to be reliable; we do not, however, guarantee its accuracy.

Past performance is not a reliable indicator of future performance. All investments are subject to market risk, including the possible loss of principal. All charts and tables are shown for illustrative purposes only.

T. Rowe Price Investment Services, Inc., Distributor.

© 2019 T. Rowe Price. All rights reserved. T. Rowe Price, INVEST WITH CONFIDENCE, and the Bighorn Sheep design are, collectively and/or apart, trademarks of T. Rowe Price Group, Inc.

Dismiss
Tap to dismiss

Manage Subscriptions

Unsubscribe All
OK

Manage your watched Funds and Insights subscriptions here.

OK

Change Details

Congratulations! You are now registered.

Begin watching and receiving email updates for:

Ok

Sign in to manage your subscriptions and watch list.

Register

Download

Latest Date Range
Download Cancel

This content is restricted for Institutional Investors use only. We were not able to validate your status as an Institutional Investor with the information you provided at registration.

Please contact the T. Rowe Price Team with questions or to revise your status.

1-800-564-6958

You will need to accept the Terms & Conditions again.

Ok

You have updated your email address.

An activation email has been sent to your new email address from T. Rowe Price.

Please click on the activation link in order to receive email updates.

Ok

You have an existing account

Click OK to view your subscriptions and watch list.

OK

Confirm Cancel