Dear readers, almost everyday we read with interest or perhaps nonchalance now at the interplay between US and China over their trade issues. What Donald Trump says, what his China counterpart President Xi responds will shape the stocks markets inevitably.
Any hike imposed by either party will lead to sell-off in the stocks markets, depending on the magnitude of the hikes. And any attempts made at reconciling the trade differences will be welcome by the stocks markets, usually with a rebound.
So while investors are looking at how the trade differences between the US and China are playing out everyday, I believe investors will be easily lured into thinking that the trade developments are the only factor shaping the stocks markets. And this is where investors, in my humble opinion will be in for the surprise.
The fact is that even if there are improvements in the trade matters between China and US, the global economy has already shown fundamental signs of bearishness. Just look at some economic numbers from countries around the world including Singapore. Just note at the inversion of the yield curves.
And I really believe stocks markets will not go indefinitely up and up. I believe it is natural for the stocks markets to head south, especially when investors already have a decade of bull run for the global equities.
That’s it for my insights today. I Thank you once again for your support of SG STOCKS INVESTING, your Money and Lifestyle magazine! I also run another blog Singapore Stocks Investing with similar useful insights! Connect with me here to follow the daily exciting and useful posts on these two blogs, Thank You for your support!
BINGE READ ALL POSTS!
Visit Home Page for more reads or Connect here!