An opportunity for trading

It’s time, the topic of trade conflict did it again in the media and in the minds of investors. Breathe it means now, after the United States in return for China’s announcements to import, the punitive tariffs threat of more agricultural products and energy “Made in America” wants to set out first. And now the people’s Republic aims to reduce even the import duties on cars from the Middle Kingdom. So all good?

Could you think already that’s why if you look at the reaction on the stock exchanges. The theme is ticked off. The but not just because it’s a short-term deal. It’s also because the issue long term loses its explosiveness.

Who Donald Trump has read’s book “The Art of Deal”, know that maximum sabre-rattling is part of its strategy to achieve its goals. Trump in turn knows that the success of his term and a possible presidential renomination of two determinants is measured: the development of the stock market (so that he can get media to celebrate) and unemployment (which it secures the votes ). Therefore he will do nothing to damage these two sizes.

And “his maximum sabre-rattling” in terms of import duties carries after recent messages also first fruits, but also investment as the Chinese speak not only of a facilitation of the import conditions for foreign goods, such as cars themselves, and Want to facilitate investments of foreign companies in their own country. Also that the European Union is suddenly aware about that for decades its own import tariffs for many American products were higher than the import duties in the United States for some European products, is remarkable.

Could be so that at the end of saber-rattling global free trade is not limited, but even strengthened. And therefore also the stock markets continue to rise.
Check this out: The main points and summary of the article

Leave a Reply

Your email address will not be published. Required fields are marked *