News this past week
- UK retail sales remain strong
- US CPI rises faster than expected
- Japanese growth returns to positive territory
- Japanese trade surplus increases
- Oil posts fresh high in 2016
James Klempster, CFA of Momentum Global Investment Management shares his view:
Last week the US increased its import tariff from 266% to in excess of 500% in an attempt to curb dumping of Chinese-produced steel into the US market. Dumping is used to describe the practice of countries and/or companies exporting goods at below their cost of production. This practice is problematic for the importing country because it provides a potential flood of a good at a price that local producers cannot compete with. Conversely, the consumer may benefit from dumping due to a reduction in input prices.