Trade wars

Posted: July 12, 2018 in Uncategorized

Ttade wars are ratcheting up and, at least until the November Congress election, they will keep on being with us.

I explore more in detail in my newsletter, but it is a multi_faceted issue.

1 Part show for the mid term election

2. Part real – China 2025 is a direct attack to the US supremacy

3. Overdue as China is attacking the world since 1995.

The issue is that there is no negotiation as until now everybody thought is was a fake trade war.

About the market reaction – it is both bad and good. Why also good? It is one of the few thing that can stop the Fed rising interest. Interest rate, at the end, are the only real killer of bull markets.

On the side, and not talked about, the US Congress is trying its best to take away the tariff power from the President. Not an easy task with ann election pending.

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