There is a whole lot of room for ex-US proportion of capital allocation to increase. US allocation is pretty high above the historical norm.
Isn’t that self-contradictory?Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately.
At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable.
“Conversely, and based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR, to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately. Thank you for your attention to this matter!”
I'm wondering .... Where will China find new customers for their goods? We have such good friends I cannot think of anyone who would want to trade with China when they could be subjected to our tariffs.
I guess nobody really knows. It’ll be a game of chicken to see who blinks first. If it were just China vs. a competent, focused US government, I’m sure the US could extract quite a few concessions. But what we have is this idiot man-baby Trump who has started an economic war of survival with pretty much everyone except Russia, Cuba, and North Korea. It seems likely that other countries will form coalitions to survive, and Trump will face pressure from Americans who are getting destroyed in the stock market.
I’m sure Trump is thinking “tax cuts will fix this” or “rate reductions will fix this”. I expect we’ll see both - he’ll ram through a tax cut, which is the only purpose the lizard-brain GOP understands, and he’ll also fire Fed committee members until he gets the rate cuts he wants. Then inflation spikes and the real fun begins.
umm is that a sarcastic post or a genuine one?
The US is only about 15% of China's exports.
And the EU is already looking to get on China's good side as the US is unreliable.
The Chinese can afford to wait things out until the American public gets a load of the new price tags on a huge range of consumer goods and goes insane.
Yep, he blinked.So Trump is a Panican. This will bode well for his future dealing with Putin and others
I’m not financially literate when it comes to treasury bills. Can you explain what’s happened?Consumer confidence is peanuts compared to the long term Treasury Bill damage.
Yep, he blinked.
T-Bills represent the confidence the institutional investors have in the US's ability to repay on time. That confidence was shot in the face by the genius in the stable. From now on US T-Bill have to offer higher rates in order to entice buyers. This makes it more expensive for US to service that debt.I’m not financially literate when it comes to treasury bills. Can you explain what’s happened?
T-Bills represent the confidence the institutional to investors have in the US's ability to repay on time. That confidence was shot in the face by the genius in the stable. From now on US T-Bill have to offer higher rates in order to entice buyers. This makes it more expensive for US to service that debt.
Greece Government offers 30 year bond at 4.330% US 30Y T-Bill is 4.9%
Greece Government bond is more desirable than US T Bill... Let that sink in.
US GDP is 100 times that of Greece, yet cannot sell 30Y bond at a better rate than Greece.Southern Europe, especially Greece, has had a truly amazing turnaround from a decade ago.
So that was market manipulation and insider trading at its finest. Someone specifically posted MTG’s trade logs on reddit and she made an unusual investment in SPY right before the tariffs were announced that instantly gained massively and no doubt plenty of others in Trump’s inner circles did the same. This is the most brazen, open instance of insider trading the US market has ever seen - he threatened the economic world order as a pump and dump (or, I guess, a dump and pump). The world is not going to invest in US markets with blatant corruption like this, and without that foreign investment the US financial system is massively weakened.
I hope the SEC and DOJ investigate!
Let me know when you all stop laughing…
Hahahaha.....I hope the SEC and DOJ investigate!
Let me know when you all stop laughing…
Just saw this comment over at Hacker News;I hope the SEC and DOJ investigate!
Let me know when you all stop laughing…
There's a reason the saying, "in America we have three coequal branches of government: the Supreme Court rules, the President crimes, and Congress is just for fun" has become popular since some time after his first inauguration.
No. He shattered confidence in America. People will be less apt to invest here, domestic and foreign investors. The uncertainty insures this. Until Trump is an outsider or dead this is the new landscape.As usual, Trump ends up basically where we started had he done nothing at all.
All the idiot had to do was nothing. Literally nothing. Had he done nothing we would have been better off than we are right now.
Even as an outsider Trump will have power. He did during the Biden era. And even after he passes, are we sure that his son's won't be able to pick up the MAGA loyalty?Until Trump is an outsider or dead this is the new landscape.