US considering a ban on cotton imports from China’s Xinjiang province

Dhwani Mehta FXStreet

The New York (NY) Times carries fresh headlines on Tuesday, citing that the US is considering banning some or all products made with cotton from China’s Xinjiang province.

The report said the ban could be announced as early as Tuesday, in response to the use of forced labor on minority Muslims (Uighurs) in Xinjiang.

The scope of the order is still unclear, the NY Times reported.

Market reaction

The report on a potential ban could once again escalate Sino-American trade tensions, as the diplomatic relations between the two countries suffer due to several issues.

AUD/USD, however, shrugs-off the above news, keeping its range play intact around 0.7275 so far this Tuesday. The S&P 500 futures rise 0.60% to 3440 levels.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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