Trade war escalation 'most likely' outcome of Trump-Xi meet at G20: Goldman

Complete rollback of tariffs 'unlikely' in near term, it says

Goldman Sachs Group Inc. said that a continued escalation of the U.S.-China trade war would be the “most likely” outcome of a highly anticipated meeting between Donald Trump and Xi Jinping at the Group of 20 summit in Argentina.

“The first and in our view most likely is continuing on the current path of ‘escalation’ -- tariff rates rise to 25 percent on all imports currently under tariff, and tariffs are extended to remaining Chinese imports,” Goldman said in a note outlining three basic scenarios it sees for the meeting’s outcome. A close second was a “pause” in which existing tariffs