Posted on 09/05/2019 1:37:02 PM PDT by ChicagoConservative27
Economist Arthur Laffer weighed in on the trade talks between the United States and China, touting what a deal between the two could do for the market.
Laffer agreed with President Donald Trump’s assertion that such a deal could boost the Dow Jones Industrial Average 10,000 points.
“I think he’s right about 10,000 on the Dow,” Laffer told Fox Business Network “Mornings” host Maria Bartiromo on Thursday. “I mean, that’s a pull out of a hat, but frankly, it’s a huge thing for that because it starts having a dynamic consequence with the rest of the world — Japan, South Korea, Europe, everywhere in the world will start doing deals.”
(Excerpt) Read more at breitbart.com ...
I agree, Trust Trump’s Plan.
To Art!!
Yep, patience is a virtue, China will come back on their hands and knees and the deal will be one we can accept.
Shows how silly the stock market really is. How can a deal over such a small amount of money boost the stock market 10,000 points. MAKES NO SENSE.
The stock market has lost all connection to reality.
I think people are not quite so sure what China is or maybe some forgot.
This remind me of those who thought the revolutionary or civil wars would be over within months.
I think we will win, but I think another Freeper was VERY correct when he said they will play games until the next election.
Why?
Because it’s the SMART thing for China to do.
Even if it is evil.
A thing is worth what someone will pay for it. The most basic principle in economics. The stock market IS reality at any given time.
I wouldn’t trust the Chinese government. Two anti-Trump Dems just visited them. There might well be a plan in place to pull the rug out from under Trump timed to the 2020 election cycle. Dems are so into TDS that they would be more than willing to trash the markets in order to assure Trump fails to be reelected.
The Chinese were probably promised a chance to fall back to the pre-Trump status quo. From outside the U.S., Trump could easily be seen as an aberration to be tolerated and dealt with in order to garner favor with the Democrat party.
Over all stocks climb in time that is the important part to understand. Speculators react to small changes. i like Arthur Laffer though I the permanent change in the stock market will be far less then 10K. He might be right it could climb for a short time much higher.
Velocity of money?
It’s so overpriced, over-valued and over-inflated, the crash back to reality is going to be more than an eye-opener.
Agreed. That kind of thing would end up making me nervous.
I haven’t the tiniest doubt we’ll get a DEAL with China.
Will we prove able to make it STICK..?
Wow, that’s a doozy, a much, MUCH higher challenge.
China is the Yoda Jedi of lying their a$$es off.
High hopes, low expectations.
If Trump can’t do it..? NO Prez can.
It will most likely boost Dow 10,000 points, but will do nothing for the American economy.
Never forget we are in a trade WAR with China. Have you ever seen 2 winners in any war since recorded history? China can not afford to make ANY deal which balances the trade. Because it will cause massive unemployment in Chinese manufacturing, and chairman Xi will run out to Taiwan by rioting manufacturing workers.
Here is what is going to happen....write it down...
China will keep on doing lots of negotiating and drag it out past Nov 2020. Their best hope is Biden wins in 2020.
Thus, in the last few days, China has taken a less confrontational tone toward both the civil protests in Hong Kong and the economic confrontation with the US. It is hard though to detect a fundamental change in Chinese policy. Overall, I expect the squeeze on the dissidents in Hong Kong to continue, with US-Chinese trade talks unlikely to yield anything more than a limited agreement.
I am willing to bet half of my social security check that China is in no position to make any deal which balances the trade. It is meta-physically impossible. President Xi will be run out of town if millions of Chinese manufacturing workers become unemployed.
China will do lots of negotiating and drag it past Nov 2020. The best hope they have is to deal with president mr/mrs Democrat after Nov 2020.
“...Shows how silly the stock market really is. How can a deal over such a small amount of money boost the stock market 10,000 points. MAKES NO SENSE.....”
I’ve been following it for a long, long time, and for the most part, it never has made any “sense”. IMHO, it’s primarily driven by greed & fear. Just the perceptions thereof is enough to cause a “stampede” for the “entrances” or the “exits”. Yes, there are investors that follow in-depth company analysis etc. and attempt to invest in the growth of solid companies for the long-term. But the day-to-day market: it’s all fear & greed...no reality, no common sense....at least none that I ever found.
China will keep on doing lots of negotiating and drag it out past Nov 2020. Their best hope is Biden wins in 2020.
Yup..!
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