It's already getting ugly in China.

[cjinchiangrai]

I only have one profile. I can't do team trolling like the MAGA  Muppets here.

[ThreeCardMonte]

9 minutes ago, thesetat said:

Your bold show you side with China. However cruel it may seem, China has been bleeding the US dry for years with their unfair trade. China has gotten rich and grown enormously in production and weaponry using the unfair trading policies. Meanwhile, in the US, factories closed. production stopped and became non-existent. There has always been tolerance because the people were buying cheap goods. Neglecting the underside of it. Increasing debt to china. 

China needs to back off and accept that the unbalanced trade is unacceptable anymore. Americans lost so much and became reliant to the point where China thinks they can control everything. They are mistaken. Personally, I think what Trump is doing will be great for the American people in the long run. I hate to see it make the Chinese people suffer but actions so drastic such as this have impacts on everyones lives. 

China should come to the bargaining table ready to accept a balanced trade deal. 

Good post!

 

Someone gets it.

 

Unlike the Tesla torchers on the forum.

[ThreeCardMonte]

5 minutes ago, cjinchiangrai said:

I only have one profile. I can't do team trolling like the MAGA  Muppets here.

So anyone who disagrees with you is a troll?

 

Standard Operating Procedure for the leftists.

[cjinchiangrai]

7 minutes ago, ThreeCardMonte said:

So anyone who disagrees with you is a troll?

 

Standard Operating Procedure for the leftists.

Not all, but certainly you.

[ThreeCardMonte]

1 minute ago, cjinchiangrai said:

Not all, but certainly you.

I’’m honored.

 

Is it because:

 

 

 

[cjinchiangrai]

11 minutes ago, ThreeCardMonte said:

I’’m honored.

 

Is it because:

 

 

 

No, it's because I don't use alternative facts.

[jerrymahoney]

4 hours ago, thesetat said:

Your bold show you side with China.

No. My bold only shows that, if China has a condition for any deal that Trump must admit to some 'wrong practices', that is an out for China 'cause Trump never admits a mistake.

 

My posting on this topic shows I side with this:

1.  Plaintiff challenges President Trump’s unlawful use of emergency 
power to impose a tariff on all imports from China. 

[thesetat]

48 minutes ago, jerrymahoney said:

No. My bold only shows that, if China has a condition for any deal that Trump must admit to some 'wrong practices', that is an out for China 'cause Trump never admits a mistake.

 

My posting on this topic shows I side with this:

1.  Plaintiff challenges President Trump’s unlawful use of emergency 
power to impose a tariff on all imports from China. 

but it was not unlawful as I see it. Every president has done it before. What makes it unlawful?

[jerrymahoney]

IEEPA does not contain the word "tariff".

President Trump is attempting to bypass these constraints by invoking
the IEEPA. But in the IEEPA’s almost 50-year history, no previous president has
used it to impose tariffs. Which is not surprising, since the statute does not even
mention tariffs, nor does it say anything else suggesting it authorizes presidents to
tax American citizens.

[ThreeCardMonte]

8 hours ago, cjinchiangrai said:

No, it's because I don't use alternative facts.

Correct.  You use no facts.

[jas007]

12 hours ago, swissie said:

As long as this tariff BS stays in place, future worldwide growth will be stifled. Resulting in a "lost decade", if not worse. Certainly a S&P P/E ratio of 26 will no more be sustainable.

 

"Getting ugly in China"? Under these circumstances it won't be long before things get "ugly" in Europe and the US as well. Worldwide it will get "uglier".

 

Warren Buffet wasn't a buyer recently, he was a seller. A "red flag" was just hoisted.

 

Even if we assume that things will get "ugly" long term because tariffs are not the way to establish a level playing field, that's a discussion for another day.

 

The issue here is what happens with the trade negotiations. What agreement will be reached and how soon?  

 

Some people think Trump is living in a world that no longer exists and that the world's financial and economic center of gravity, so to speak, has shifted, that the US is no longer the dominant player it once was, and that this factor, alone, is determinative of an outcome where China wins and the US has no choice but to fold.  At least that seems to be the theory.

 

Other people think that, despite a changing world, things don't happen quite so quickly. The US dollar is the world reserve currency and will remain so for the near term, at least.  The dollar's importance may eventually fade, but that process will happen over decades, not weeks.  And so?  It's a so-called "race to the bottom" in the currency markets. Trump wants lower interest rates and a weaker dollar. And the Fed will have no choice but to eventually comply. Moreover, most central banks around the world are playing the same game. They may not all act in unison, but eventually, they won't have much choice but to play the game so long as the US Fed keeps printing.  As I've said, that's not a long term solution for the Fed and there is a breaking point, but before that breaking point is reached, there will be a trade deal.

 

After that? Who knows?  For now, they've kicked the can down the road.  That's usually how it works, right? 

 

Take a look at Trump's financial advisors.  They're all from the financial sector.  The path forward shouldn't surprise anyone.   As usual, the people of the world will end up the losers. 

 

 

[ThreeCardMonte]

Should be an interesting weekend in Switzerland.