During the administration of President Donald Trump, the United States engaged in a "trade war" with China, slapping tariffs on certain Chinese imports to the United States that varied by industry and subject matter. This also caused China to retaliate and tax US exports to China.

Based on economic theory please explain the effect on the foreign exchange market that would be expected to come from this trade war. Please include discussions on its effects on:

• Exchange rates of United States currency and Chinese currency and between States currency and other world currencies;
• Demand for US exports around the world;
• Demand for United States government securities such as treasury bonds;
• The effect on US unemployment rates; and
• The effect on United States Gross Domestic Product.