Posted on 08/05/2019 11:47:14 AM PDT by Innovative
The Dow tumbled 875 points and global stocks were in disarray on Monday after China escalated the trade war with the United States.
The Chinese government devalued the yuan to fall below its 7-to-1 ratio with the US dollar for the first time in a decade Monday. A weaker currency could soften the blow the United States has dealt China with its tariffs.
The weak yuan ignited fear on Wall Street that a currency war has begun or that the United States would respond with even higher tariffs, prolonging the standoff with China and potentially weakening the global economy. Investors are particularly concerned that the Trump administration could try to devalue the dollar, sparking a currency war that could weaken Americans' purchasing power.
(Excerpt) Read more at cnn.The Dow tumbled 875 points and global stocks were in disarray on Monday after China escalated the trade war with the United States.com ...
Trump should tweet
buy made in USA and/or aviod made in china
This just confirms my long-held belief that China only exists today to serve as a slave colony for the U.S.
Up $22.41 (1.55%) at time of posting
Bet it goes up at least 300 points tomorrow.
Yes, if the valuation of the company’s assets is expressed in dollars, but:
1. The yuan is not yet a widely traded international currency, so this effect should be small
2. Any US company that faces competition domestically from Chinese imports, or makes money exporting to China, faces the usual negative effects on profits from such a strengthening of the dollar. (Of course American see the value of their assets, including their labor and skill, and which are usually priced in dollars, go up.)
3. Presumably some investors are taking the events of the last few days as a possible signal that there will be a further unwinding of global trade ties, which which is bad news overall for the global business climate, and for consumers.
yep, up $50 since 8/1. Interesting there was a sharp drop/recovery $14 at 11 AM.
in a way, yes, but their local slavemasters are very very very very smart and are busy using their profits from their ‘business’ to buy tons of weapons and loads of USA properties and businesses
plus military ports and bases and canals all around the world
saw that...profit taking?
I own mostly gold and silver stocks.
They were up anymore from 5 to 13 percent today.
Gold is and will be on the rise for a while.
This China thing isn’t going to be settled Completely for a while.
Gold WILL pass 1500 and I believe go on to possibly the mid 1600s
The markets are going down because the Fed is sitting on its hands.
Screw the Chinese, the Free Traitors and Sellout Greedy Corporations that created this Commie monster. We are financing their military takeover of the world. If we had not sent all of our jobs overseas, people like that maniac shooter might be working and finding his self worth instead of hanging out with the Antifa types.
China has just volunteered to pay for the tariffs themselves rather than send it through to the US consumer.
...
You are correct.
Death by 1000 cuts. Market will go down about 6000 points, scare people to death and the left will have their August message.
paging Shirley Bassey..
Currency devaluation will hurt China. I suspect they are trying to buy time for the 2020 election when there is hope for the Dems to take power. Election meddling? Hacking of Republican emails for political dirt? Fake dirt whisper campaigns? This election cycle is going to be ugly.
Yeah, the Fed’s QT while the rest of the world remains in QE. SMH. Either the Fed cuts the rate sharply in Sept or it’ll be recession by next summer.
I heard on Faux Radio News on Saturday that the Clothing Manufacturers Association....or whatever their name is....claiming that Americans will have to pay more for clothing because of the president’s tariffs.
They said they were “shocked.”
Well, I’m shocked that these manufacturers are making clothing and textiles OUTSIDE of the U.S.A. They are indirectly helping China build up their military.
Back in the early 1990’s, most clothing was made here. Not anymore.
You're absolutely right. Just doing a simple search I found that back in 2010, China and Russia made an agreement to allow their currencies to trade with each other, and the article title said it would threaten U.S. dollars then. Back in 2015, they devalued the Yuan. In 2016, an article title was: World faces deflation shock as China devalues yuan at accelerating pace. Back in October 2017, they stated they would compel Saudi Arabia to trade oil in Yuan. In November 2016, they threatened to cut the sale of iPhones, and U.S. cars if President-Elect Trump pursued trade wars.
Let it. It will be Dow 30K by Jan 2020.
I’m glad that there are Freepers who are knowledgeable about all this crap, because I count on you guys to break it down so stupid people like me understand what’s going on. Thank you!
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