Highlights:
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The US-China trade dispute has raised fears of a prolonged game of one-upmanship that could result in long-term damage to the global economy.
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US Fed officials believe some of the recent weakness in inflation data may be temporary, but some have expressed concern about a cycle of low inflation expectations.
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Sentiment in Europe remains weak as Europe-wide elections in May revealed growing discontent with the major political groupings.
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China is attempting to balance its financial stability and economic growth objectives, while markets are concerned that current stimulus measures may be too constrained.
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The RBA cut the cash rate at its June meeting to 1.25%—the lowest level on record—in response to weaker inflation and a noticeable rise in unemployment.
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