Real reason behind sluggish business investment isn't trade war, bank economist says

Emel Akan

The Epoch Times

The recent weakness in U.S. business investment may be largely related to falling oil prices and the grounding of Boeing’s 737 Max 8 jet, JPMorgan Chase finds, challenging claims that the trade dispute with China is undercutting capital spending.

Business investment slowed sharply in recent months, prompting some analysts to read it as another recession sign and blame the U.S.-China trade war for the slowdown.

However, the main culprits could be falling oil prices and aircraft setbacks, which “are unlikely to cause serious harm to the broader economy,” Jim Glassman, h...