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International Monetary Fund (IMF) President Lagarde said on Monday that she expects the United States and China to reach an agreement to end trade disputes. Trade disputes have made financial markets uneasy and cast a shadow over the global economy.

“I will say ‘yes,’” Lagarde said at the Milken Institute Global Conference on Monday whether the China-US consultation will reach an agreement.

In the past year, Washington and Beijing have been fighting trade wars. The two sides imposed tariffs on goods worth billions of dollars each other and threatened to raise them further. The current consultation has reached a critical moment.

U.S. Treasury Secretary Nuchin originally planned to speak at a meeting on Monday, but he has already traveled to China for talks.

In a wide-ranging interview, Lagarde said she believes that the US economy will not fall into recession. Data released last week showed that the US economy grew at an annual rate of 3.2% in the first three months of 2019, higher than expected.

The global economic slowdown, especially in China and Europe, and the prospect of a 10-year bull market in the United States that is likely to end, has sparked growing concerns.


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