Bessent Dismisses China Investing in US as Part of a Trade Pact

US-China Trade Relations & Investment - US and China continue negotiations with a 90-day extension, the agreement's scope regarding investments remains uncertain [1] - Foreign direct investment is a key concern, impacting relationships beyond China, such as Japan's Nippon Steel deal [2] - The interdependence between the US and China raises questions about the necessity of including foreign direct investment [3] Tariffs & US Deficit - Tariff revenue has increased substantially year-on-year, potentially offsetting concerns about the US deficit [4] - Billions of dollars are being collected from tariffs, but this doesn't solve the trillion-dollar deficit problem [5] - The argument that tariff revenue plus tax cuts will offset the deficit is questioned by economists and market participants [6] - Interest rate payments contribute to the snowball effect in the deficit, and spending cuts are aimed at addressing this [7]