“The stock market rallied to new records this week on the prospects of a U.S.-Mexico trade deal, but the global trade war is far from over,” Tim Mullaney writes for CNBC. “It is a good time to review what investors already have learned about the trade war in 2018, and how it can still hit blue-chip stocks hard, especially with issues between the U.S. and China far from resolved.”
“China is still the biggest swing factor, and its stock market has been pummeled this year, officially entering a bear market with losses over 20 percent,” Mullaney writes. “The last time the Chinese market took a major leg down, between 2015 and 2016 — mainland Chinese stocks lost 30 percent of their value between June-July 2015 alone — the effects were felt in U.S. stocks. The wobbles in China’s stock market threaten to disrupt that nation’s growth and its ability to buy U.S. exports and it hit a lot of blue chips, and not just the industrials you would expect to suffer — starting with Apple… Even while the trade deal struck on Monday between Mexico and the United States alleviates some fears, U.S. tariffs on Mexico are still in place. And as much as another $200 billion in tariffs against China are still being weighed by the White House for implementation later this year.”
The United States is insisting that all countries that have placed artificial Trade Barriers and Tariffs on goods going into their country, remove those Barriers & Tariffs or be met with more than Reciprocity by the U.S.A. Trade must be fair and no longer a one way street!
— Donald J. Trump (@realDonaldTrump) June 24, 2018
“Apple took one of the largest hits in the market when China’s markets wobbled in 2015 into 2016, with shares losing a quarter of their value as uncertainty about Chinese consumption curbed Asian demand for iPhones. But Apple became the first U.S. company to reach a $1 trillion valuation in spite of the Chinese stock dive and the unresolved trade war with Chin,” Mullaney writes. “‘I don’t want to say anyone is immune, but if anyone has Trump’s ear right now it’s Tim Cook,’ Zino said. ‘I think [Trump] will try to avoid hurting the company directly. It’s probably the most important U.S.-based [manufacturer] on the planet.'”
Read more in the full article here.
MacDailyNews Take: Obviously, Tim Cook is continuing to meet and converse with President Trump:
SEE ALSO:
Wall Street rises on upbeat U.S. – China and U.S.- Mexico trade news – August 17, 2018
Cramer: Here’s why China won’t boycott Apple as part of its trade war with the US – August 7, 2018
Apple could be used as a ‘bargaining chip’ in the trade war, Chinese state-run media warns – August 7, 2018
Why the US-China trade war may not have much impact on Apple – July 17, 2018
Apple launches $300 million China Clean Energy Fund – July 13, 2018
What trade war? Markets shrug off US-China dueling tariffs – July 6, 2018
U.S. President Trump puts tech in trade war crosshairs with planned curb on China investment – June 25, 2018
The Trump administration told Apple it would not place tariffs on iPhones assembled in China – June 19, 2018
Chinese stocks end at 2-year low, Apple suppliers sink on trade-war concerns – June 19, 2018
Why Apple CEO Tim Cook is acting like tech’s top diplomat – June 18, 2018
Apple CEO Tim Cook doesn’t expect a full-blown trade war between the U.S. and China – June 5, 2018
President Trump and Apple CEO Cook meet at White House with trade the focus – April 25, 2018
Apple CEO Cook to meet with President Trump – April 25, 2018
Why Apple stock can withstand a Chinese trade war – April 5, 2018
Apple CEO Tim Cook heads to China as President Trump orders 25 percent tariffs on up to $60 billion in Chinese imports – March 23, 2018
BoA Merrill Lynch: Apple is prepping a ‘foldable’ iPhone; U.S. and China trade tensions not an issue for Apple – March 23, 2018
Designed in California. Assembled in China. How Apple’s iPhone skews U.S. trade deficit – March 21, 2018
President Trump blocks Broadcom-Qualcomm deal over China concerns – March 13, 2018
Elon Musk sides with President Trump on trade with China – March 8, 2018
Analyst: President Trump’s tariff impact on Apple would be just a ’rounding error’ – March 7, 2018
It doesn’t matter *what* Apple does to appease this administration, it’ll take just one minor poke to the president’s snowflake ego to make him turn his twit-rage onto Apple. And it will be for some trumped up hyperbolic wedge issue. Chances are it will be Apple’s stance on privacy, so the claim will be that Apple’s end-to-end encryption is protecting terrorists or child abusers. Canada’s conservatives already tried that latter angle in 2011 or 2012, when the minister pushing a privacy-invading bill yelled that anyone opposed to it sided with child pornographers. He had to walk that back after other conservatives blasted him, and the bill failed.
Trump has already ranted against Apple in the past for their privacy stance: “To think that Apple won’t allow us to get into her cellphone? Who do they think they are?” (Feb 2016). And he called for a boycott until Apple complied with an impossible order. That was before he was president, though he was already on the campaign trail. Imagine the damage he’d do now.
Trumpet’s game is bait and switch, he can’t focus beyond 30 seconds. similar to Google in hardware projects.
Time for lame brain Cook bashers to chime in…
Trump doesn’t know or care what impact his actions take. All that matters is if he can claim he has a great relationship with a CEO/leader, the company/country is good. If something is said that does not praise him, then . . . bad.
Cook seems to have done well in relation to Trump so far, it helps that Apple isn’t a data mining operation like Google. He may be an arrogant leftist, but he’s not a knee-jerk retard like most SJWs. He could learn a thing or two about posture and confidence from the God Emperor though, and picking the right shoes for the suit and occasion.
Only in banana republics do companies have to worry about the President’s mood.
In general, fascist economies are based on private property and private initiative, but these are contingent upon service to the state.