In US-China stand-off, why Washington is likely to blink first

In the unfolding "Mexican stand-off" between the United States and China, it is increasingly likely that Washington DC could back out. Indications of this were clearly evident when US President Donald Trump claimed over the weekend that he had spoken directly with Chinese President Xi Jinping on the trade issue. Chinese officials responded to this by categorically stating that no talks have taken place about a trade war, with an official spokesperson saying that "China and the US have not held consultations or negotiations on the issue of tariffs. The United States should not confuse the public". Trump's "liberation day"…