Stocks rose this morning and have been trading at a positive percentage change from the momentum of economic data from China and Japan, but the looming Syrian conflict could decrease this momentum. Economic highlights from zacks.com suggest that confidence in exchange rate, increased workers’ wages, lower account deficits, stronger trade and lower inflation are responsible for the favorable economic data in China. For Japan, the GDP was higher than expected from the second quarter, and it will host the 2020 Summary Olympics. The recovering U.S. and Euro economies coupled with the Asian growth picture could result in higher interest rates. A military strike against Syria by the U.S. for an alleged chemical weapons attack on Syrian civilians could decrease the global economy and send oil prices rising.
President Obama has waited for Congress to return from recess instead of calling them back early to authorize a military strike against Syria. The allegations supported by the President are that the Syrian government attacked civilians with the use of chemical gas outside Damascus. The President has gone back and forth with the Syrian conflict over the last few years, but he has decided that U.S. should intervene. Instead of launching military intervention, he has asked Congress to authorize an attack on Syria. President Obama is addressing the nation tomorrow, on the eve of September 11, to explain why the U.S. should intervene in Syria.
This has been met with opposition from Congress, the American public and the other nations. According to the latest Gallup polls, Obama’s approval rating is at 43 percent. Some Congressional leaders disagree with the claims that chemical gas was used on the attacks outside of Damascus. The Russian Vladimir has stated that he will help the Assad regime if Syria is attacked by the U.S.
Last week the Group of 20 (G20) summit ended in St. Petersburg, Russia where President Barack Obama received pressure from Russia’s Vladimir Putin against attacking Syria. Russia opposes strikes against the Assad regime by the U.S. and has made it clear that Russia would help Syria if attacked. Russia does not want instability in the Middle East and does feel the allegations of the chemical weapons attack outside Damascus are true. According to The Telegraph, "He (Obama) disagrees with my arguments, I disagree with his arguments," Mr Putin stated with characteristic bluntness.
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