hmmm… by this logic the ones who were predicting a doomsday in Market should concede defeat…isnt it…
No victory signs…just saying that its not going to be a bloodbath in US markets because of trade war. Asian markets may be. US will have significant long term gains because of this.
US is at a good position in this fake trade war. The result in total would be beneficial to US. But it is not politically correct to say this publicly. People are only allowed to say this in private.
Stock market is troubled. Trump might not like to tank the market before midterm election, but his unpredictable trick with the media and foreign countries will create too much volatility. Volatility will reduce investor confidence.
I assume all these tariffs that are being charged go directly into the treasury so they can make up part of the high deficit from Trumps tax cuts, so he has little reason not to love them.
There has to be a tipping point. We all know if you cut the tax rate from 35% to 1% you would not get more income. I don’t know what the tipping point is here but 35% to 20% is a drastic cut.
Any corporate income tax rate between 15% (big break) to 20% (Moderate rate) is well below most of the developed countries rate. The current rate 21% will attract entire world businesses to have a tax haven in USA as most of them sell goods to USA.
When Trump/Rep made this rate at worldwide average level, still US has high labor cost by higher standard of living.
One the ways to block the imports (as it avoid local job market), Trump is raising tariff to discourage. All american businesses either pay tariff or use local manufacturing. This will slowly get rid of imports and attract local manufacturing.
Even though he is doing right for this country people, as usual, he does not get good name for this, esp from educated circle, but I hope labor circle may likely appreciate which we will know during 2020 election.
However, he believes the current dynamic in the market is making a strong case for investors to adopt a cautious stance moving forward and thinks that investors should be acutely focused on selecting the right investments.
“There are certain areas that are holding up well so…no reason to sell. But as I mentioned, you’ve gotta be very, very selective here,” Acampora said. ‘
So stay with cash-rich money making tech stocks. These are the stocks bought by community here. Go tech stocks. Go bay area RE. We can continue to live in our utopia. There is nothing to worry about.
How is it now? Futures were down 10% when Trump was selected. We all know how it all turned out.
US is the biggest importer of goods in the world. Have lot of muscle to decide the terms of trade. You can throw punches at US but US will be the last one standing in the match.
@manch was just joking around. He’s a much more savvy stock investor than you ever will be, even though he blundered badly on some stocks (nflx and Tsla).