Could Washington's impeachment drama spark China trade deal?
WASHINGTON (AP) — The Democratic impeachment inquiry may do at least one thing for President Donald Trump: It could give him more incentive to resolve his trade war with China.
As the political heat rises in Washington, a deal with Beijing would allow Trump to claim a much-needed victory and divert some attention from an explosive congressional investigation into his dealings with Ukraine.
Analysts say Trump's conflict with Beijing, which has shaken financial markets and further darkened the global economic outlook, could be headed for some tentative resolution in the coming months. Talks between the two countries are set to resume in October.
"The political mess may now encourage President Trump to accept an imperfect deal with China," Hussein Sayed of the foreign exchange brokerage FXTM wrote in a report. "After all, he needs to prove that he's the master of deal-making, and now is the right time to raise his approval rating higher."
At the same time, however, the impeachment inquiry may have dimmed the prospects for other items on Trump's trade agenda, including his push for congressional approval of a revamped North American trade agreement. That would require backing from the Democratic-led House, and relations between the two parties may now be more inflamed than ever.
The impeachment proceedings will likely dominate Washington for months, siphoning time and energy from the normal business of government — debating, compromising, legislating, policymaking. The likelihood of meaningful legislative gains was already slight. Now, it appears even more remote.
White House Press Secretary Stephanie Grisham went so far as to assert that the House Democrats' investigation "destroyed any chances of legislative progress for the people of this country."
By contrast, a...