Trump trade deal with Japan is close – report | Forexlive

If you missed it, about two hours ago, Fox Business’ Charlie Gasparino was out with this report:

If the current trajectory of the negotiations remain, White House officials expect to soon announce a trade deal w Japan, I am told by people w direct knowledge of the matter. No details on exact timing and this could always change given the volatility of the talks, but the smoke signals are positive so far. Also no details on type of deal ect. According to one White House official: “We’re in a great place with a lot of people…Trump didnt get here because he isn’t persuasive…Easter might slow things up but we’re making progress.” Story developing

That’s probably the wind behind the sails of the stock market in the second half of the day today but note that Japanese reports aren’t as positive.

I also think the scope of the first deal — whatever it is — will be critical. Japan has a $68 billion trade deficit in goods with the US so it’s a tough test but I hope the US can drop the 10% tariff floor. If not, and if the US is looking for things like reparations for military defense, then it’s going to signal a tough slog on trade.