(New York)

The very public grudge match between JP Morgan and President Trump appears to be continuing, albeit in a more subtle way this week. Strategists at JP Morgan went on the record saying that one of the biggest risks to the market right now is that Trump overestimates the US economy and makes a major miscalculation in his trade war with China. The big worry is that Trump takes the trade war too far and sends China into a recession, which would then reverberate and cause a global reversal, shocking markets.

FINSUM: China experiencing a significant downturn could cause a chain reaction amongst EM and developed economies which could come back to sting the whole western world.