U.S., China agree on framework to de-escalate trade tensions

Trade Tensions and Agreements - The US and China have reportedly agreed to a framework to de-escalate trade tensions, with rare earth experts being a fundamental part of that framework [1] - The agreement is described as a "handshake agreement to seek sign off to agree that a previously agreed agreement was still their agreed upon agreement," with the previous agreement being a framework for future agreements [1] - The current administration thrives on chaos, impacting financial markets and corporate decision-making [1] Tariffs and Constitutionality - An appeals court has allowed Donald Trump's tariffs to remain in effect for at least two months until oral arguments begin in late July [1] - The tariffs were authorized under the Emergency Powers Act, which does not include the word tariff, and there is a question of whether the situation constitutes an emergency [1] - The International Trade Court initially suspended the tariffs, but the appeals court will hear arguments, potentially leading to "pointless, destructive tariffs that were probably unconstitutional all along" [1][2][3] - The legal system is perceived as not being equipped to handle a White House with little respect for the Constitution [3] Business Impact and Uncertainty - Companies like Apple face uncertainty in making decisions about production locations (e g, moving to India versus staying in China) due to the lack of clarity on tariffs and access to rare earth metals [1] - Businesses and investors are described as "sitting on a bed of nails" due to the ongoing uncertainty [1]