Trump Will Keep Up Trade Pressure for Few Months, Says BNP Paribas' Morris

The video discusses the potential impact of US tariffs on China, considering both economic and political factors, especially in light of upcoming midterm elections. It explores how trade tensions can influence inflation, with a focus on the Federal Reserve's perspective on growth and inflationary pressures. The discussion also covers market reactions, particularly in equities and the treasury market, highlighting concerns about trade risks and their effects on treasury yields.

What factors might lead the Federal Reserve to focus on disinflationary risks?

Why is there a disconnect between the equity market and the treasury market according to the discussion?