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Analyst is skeptical Trump-Xi meeting will produce agreement

President Trump generated some excitement last week with his tweet saying he had a “very good conversation” about trade with China’s president Xi Jinping.

It raised hopes that the two may be ready to make a deal when they meet later this month on the sidelines of the G-20 summit in Argentina.

But some analysts, including Arlan Suderman with INTL FCStone, are skeptical that meeting will produce any kind of agreement.

“Unless one of two things happens,” Suderman says. “President Trump is weakened politically and so he feels like he needs to give in and lower his expectations in order to try to start working on the 2020 campaign—or President Xi starts to lose support within the leadership of the communist party and starts worrying about seeing a headline that says he’s suddenly taken ill.”

The Chinese economy is showing signs of strain. China’s economy in the third quarter grew at its weakest pace since the global financial crisis.

AUDIO: Arlan Suderman