But the new and rising threat from the mysterious coronavirus could very well change that calculus. Advertisement“The Chinese economy is very important in the global economy now and, you know, when China’s economy slows down, we do feel that,” Powell said. Back in 2002, China accounted for just 8% of the global economy, on a purchasing parity basis. But it’s about 20% today, with many American and other global firms dependent on Chinese supply chains and the nation’s vast markets. “They want nothing to do with a rate cut or a rate hike before the election,” Brusuelas said.

Source: Los Angeles Times January 30, 2020 00:22 UTC