Is it time for China and U.S.A. to hug and make up yet? Apparently not. We’re still mad at each other..
- Don’t be mean to me! China banned ‘South Park’ after the show ridiculed the Chinese government last week. Then, the Chinese government banned NBA preseason games after a tweet in support of Hong Kong protestors.
- Miles Apart. It doesn’t look like we’ll be reaching a deal soon. The market was down -313 points on the news that we won’t be reaching a deal.
- The Empire Strikes Back. China’s foreign ministry promised to hit the U.S. back for blacklisting it’s companies, telling reporters to “stay tuned” for Chinese retaliation.
“The US Government and Department of Commerce cannot and will not tolerate the brutal suppression of ethnic minorities within China.” – US Secretary of Commerce, Wilbur Ross
How Does It Affect My Wallet?
Bank stocks, industrials, and microchip-makers are among the most vulnerable to this trade deal. Not surprisingly, all three of these industries fell yesterday.
- Recession Risk? The longer the trade war goes on, the higher the risk for a recession. Businesses got their fingers crossed hoping things are resolved soon.
If the China talks go well, the market could bounce back hard, but Wall Street doesn’t have high expectations.
Too long, didn’t read.
The US / China trade war doesn’t look like it’ll be resolved anytime soon. Now, Wall Street is losing hope for a speedy resolution and the stock market is suffering as a result.
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