Friday, August 03, 2018

US-CN 'trade war' pummels CN the protectionist

With renewed US-CN 'trade war' stories, CN markets and investments are heavily rattled, this week's stockmarkets close, Shenzhen is -21.8% year to date (ytd), Shanghai is -17.1% ytd. As the rhetorics linger, CN markets get deeper into the hole. Which shows how protectionist, how stealth CN is in doing intl business that people cringe at the fear of being discovered.

CN remains the worst performing stockmarket in the world this year for several weeks now, Turkey 2nd, KR 3rd, PH 4th, Hungary 5th.

See these related stories:

Tim Cook Rescues US Stocks As Trump Crushes China, Turkey
by Tyler Durden  Thu, 08/02/2018 - 16:01

Trump zeroes in on China after trade truce with Europe
Demetri Sevastopulo and Shawn Donnan in Washington
US president moves to resolve other disputes but ups ante in battle with Beijing

Hit hard by trade rhetoric, China ‘likely to do deal with US’

Hong Kong analyst tips a compromise between Beijing and Washington to prevent full-on trade war between the two countries, with Chinese markets shaky

“The Chinese [stock] market has really suffered from all the back and forth, and certainly the uncertainty. As we all know, markets don’t like uncertainty. They have a really hard time pricing it in and they normally overprice uncertainty to the downside, which I think you’ve seen in Shanghai.”

China caught off guard as US trade war highlights Beijing’s dilemma
By GORDON WATTS JULY 31, 2018 3:36 PM (UTC+8)

Grappling with this new reality has forced China to reevaluate its Washington relationship and its economic policy

'“China’s Communist Party hasn’t been tamed by commerce. The Party-State still has firm control over the commanding heights of China’s economy – both directly, and indirectly, through its influence on large “private” companies (who can only remain both successful and private with the support of the Party),” Setser concluded on the website of the nonprofit think tank based in New York.'

No comments: