What's going on?

China and the US are getting their heads in the game for trade negotiations on Thursday � and after recent drama on and off the basketball court, spectators are on tenterhooks to see if they�ll score a deal.

What does this mean?

The trade war has been even more heated than usual this week. China sanctioned the NBA, professional gamers, and South Park for criticizing the country, while the US imposed visa restrictions and a ban on some Chinese companies doing business with their American counterparts.

Still, both the US and China think a deal can be reached to end their long-standing rivalry. China is reportedly open to a partial trade deal if America cancels its planned tariff hikes, while the US president has said he�s hopeful one can be reached � though it�s unlikely to happen this week.

Why should I care?

For markets: Keep your eye on the geopolitical ball.
According to investment manager BlackRock, the trade war is the most important issue for investors this quarter. After all, a deal � or a lack of one � will have a bigger effect on markets than any single company�s earnings. But it�s not just the trade war that�s got investors on edge. Recent attacks on Saudi Arabia�s oil supply and an ever-looming Brexit are still jostling markets, and there might be more last-minute upsets to come.

The bigger picture: Looking for an assist.
BlackRock is expecting central banks � namely the US Federal Reserve (the Fed) � to play a key part in stimulating the global economy. That�s proven accurate so far, given that the Fed confirmed plans this week to stabilize the short-term �repo� market. But the firm doesn�t think they can solve the problem alone: higher tariffs caused by a worsening trade war � and the subsequent decline in demand for goods � could still drag on the economy. BlackRock, then, advocates buying stocks that are insulated from an economic slowdown.