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China’s Export Machine Keeps Pumping Ahead of Trump Visit

  • China’s exports surged 21.8% to $657 billion in January and February, widening its trade surplus to nearly $214 billion ahead of President Trump’s Beijing visit.
  • Exports to the U.S. fell 11% in the first two months, but a Supreme Court ruling striking down tariffs may boost China’s share of exports.
  • Beijing lowered its 2026 economic growth target to 4.5%-5% and pledged to boost domestic demand, but didn't announce new spending programs.

 

Why Iranian Regime Change Would Transform Global Energy Markets

  • The Iran conflict could reshape global energy markets if regime change leads to lifted sanctions and increased output.
  • International sanctions have starved Iran’s oil industry of foreign investment and technology, threatening an eventual collapse in production.
  • If sanctions were removed, Iran’s output could increase and Brent crude prices could drop, according to analysts.

Japan’s Growth Beats Estimates in Boost for BOJ Hikes

  • Japan’s economy grew 1.3% annualized in Q4 2025, driven by capital spending, strengthening the case for interest-rate hikes.
  • The Bank of Japan faces a policy dilemma as Middle East tensions and surging oil prices create uncertainty despite domestic wage and price growth.
  • The Nikkei Stock Average plunged amid fears that higher energy costs will hurt corporate profits and derail the nation’s growth.

German Exports Fall, Extending Weak Start to 2026

  • German exports of goods fell 2.3% in January, following declines in industrial orders and output, Destatis said.
  • Exports to the U.S. increased 11.7% in January, making it the top destination for German goods.
  • Germany’s overall trade balance rose to 21.2 billion euros in January, up from 17.1 billion euros a month prior.

U.K. February Retail Sales Flat as Middle-East Conflict Weighs on March Outlook

  • U.K. retail sales were flat in February, with the British Retail Consortium citing the Middle East conflict as a threat to recovery.
  • The Middle East conflict is increasing fuel-cost concerns, which could cause food price inflation, according to IGD’s CEO.
  • Overall retail sales grew 1.1% for the four weeks ending Feb. 28, matching the rate from the comparable 2025 period.

U.S. and Western Allies Turn to Reserves to Counteract Gulf Oil Crisis

  • G7 finance ministers discussed releasing strategic crude reserves to stabilize the market after the Strait of Hormuz effectively closed.
  • The Strait of Hormuz closure has trapped over 1,000 ships, forcing Gulf oil producers to cut output and raising Brent crude prices.
  • International Energy Agency members hold 1.2 billion barrels in public stocks and 600 million in mandatory commercial inventories.

 

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