Barclays Sees Mild Impact on US Inflation, Yuan From Tariff Move

Barclays Plc said any rollback of US tariffs on Chinese goods will have only a modest impact on US inflation and the yuan.

If there’s a complete rollback of tariffs, the maximum direct effect on US inflation is a one-time reduction of 0.3 percentage point, Barclays’ analysts including Jayati Bharadwaj wrote in a note. They cited the relatively small share of Chinese imports in the US consumption basket as a reason for the marginal change.