CNBC:
U.S. stock futures fell sharply on Monday as a trade war between the world’s largest economies intensified with China retaliating against the U.S.′ latest move.
Dow Jones Industrial Average futures dropped 385 points, indicating a fall of 380 points at the open. S&P 500 and Nasdaq 100 futures also indicated sharp losses.
China, which has historically controlled its currency, the yuan, allowed it to fall to its lowest level against the dollar in more than a decade. The onshore yuan broke above 7 per U.S. dollar and traded at 7.04. Bloomberg News also reported China has asked state-owned companies to suspend U.S. agricultural imports.
These moves come after President Donald Trump announced last week the U.S. would impose a 10% tariff on $300 billion worth of Chinese imports. The tariff will take effect on Sept. 1. Trump’s announcement came after Chinese and U.S. officials discussed trade earlier last week as the two countries tried to restart talks.
Investors rushed to traditional safe havens like Treasurys and gold on Monday amid the uncertainty. The benchmark 10-year Treasury yield fell to 1.77% and reached its lowest level since November 2016. Gold futures for December delivery gained 1.1% to trade at $1,473 per ounce.
MacDailyNews Take: As the back and forth continues, it’s good to remember that it’s always darkest before the dawn.
“it’s good to remember that it’s always darkest before the dawn.”
Such deep, thoughtful analysis.
I can say silly quotes as well – “Those who cannot remember the past are condemned to repeat it.”
https://www.britannica.com/topic/Smoot-Hawley-Tariff-Act
Yes, trade wars are good and easy to win saidnthr idiot on the White House. There was no need for any of this market plummeting, and to say that it is always darkest before the dawn are the words of either an ardent Trump supporter or a Panglossian person who has not been following the market or world events. There was no neeed for this crash to happen at all!
He’s fscking with the money now. This is a tax on the consumer. If this continues, he can kiss his re-election goodbye.
The stable genius strikes again.
il Duce Trump as dump as ever…..
This is why everyone who actually knows anything about trade economics will tell you that trade wars are bad, and that nobody comes out a winner. I can pretty much guarantee that Trump just gave Xi the ammunition the push the US into a pretty steep recession. China was already in one to a certain extent, but Xi is more insulated politically from any ramifications. Also, China actually NEEDED to slow their economy, and this gives the administration cover by being able to blame Trump. The Chinese have been trained by propaganda for decades to stand by their government in the face of “foreign aggression”. Trump and FOX have only been at work in the US for 3 years.
This will end very badly for the US, and Trump has burned all of his bridges with allies. I don’t see North Korea being our economic salvation for new trade volume.
Well, you know Drump. If we go into a recession he will just blame Dems. and Fake news for it. The Teflon Drump.
It is amazing to see the Trumpanzee faction momentarily silenced here, at least momentarily.
I am convinced that Trump himself is a puppet to the highest bidder. At any given moment, that bidder could be the Mercers, or Moscow McConnell, or deep pocketed Putin. Nobody knows where the swamp money goes because Trump refuses to release his tax returns like every prior president — obviously there is something to hide.
Any intelligent being should know by now that Trump doesn’t “love America”, he’s a reality TV personality. He loves himself, he loves the limelight in front of selected audiences, and he loves money. If he truly put American workers first, then the GOP might have done something besides give the 1%ers a tax cut while shouldering small businesses and individuals with high tariffs. The corrupt administration applied constant political pressure for the Fed to reduce rates to goose the market while telling everyone else that the economy was stronger than ever in history. Meanwhile, on Main Street — with local variations noted –, the average economy actually isn’t growing any faster than the steady recovery of the prior 8 years. The trade deficit is actually more tilted since when Trump started using it as an excuse for his tariffs. There has been a step change in only one economic metric: DEBT. No matter how much the Trumpanzees attempt to blame the prior presidents for their overspending, Trump is setting new records for deficits at a time when he claimed he would balance the budget. The USA is bankrupting itself before your eyes, the extreme rich are profiting massively as always, corporations are buying back their own stock in order to ensure executives get their massive bonuses this quarter — but the trickle down isn’t working for working families. Farmers are on public assistance. Americans in Puerto Rico have had to endure the worst recovery assistance since Bush’s bungled Katrina efforts. Why is the USA borrowing so much? It isn’t even going to useful investments. Trump hasn’t delivered on his promises for infrastructure investment, healthcare reform, proper pharma regulation, small business regulation reform, or a dozen other reforms he promised. Instead Trump is golfing while Chicken Hawk Bolton attempts to stir up a war in Iran and Fatass Pompeo continues to accomplish nothing in Asia, and Moscow McConnell with the imported wife attempts to pack the courts with his chosen true believers after spending 8 constant years of obstructing anything the other party did.
I have never seen a more incompetent president, which is saying a lot considering what an empty suit Dubya was.
If the USA ever wants to see fiscal reform, prosperous trade, or peace to ensure it doesn’t bankrupt itself or get itself bogged down in another endless hot war, it needs to follow the words and deeds of the last great US president, Eisenhower. Make no mistake: Trumpanzees would label Eisenhower a socialist today. He applied massive taxes on the rich to pay down WW2 debts. He also gave Americans the GI bill (“free education” paid for by others, oh my!!!) so veterans could be productive peacetime citizens, as well as the interstate highway system (paid for by higher gasoline taxes, oh my!), and actually attempted (without much success, sadly) to shrink the massive US military back down to a reasonable postwar footing — while still funding new research to keep the USA in the Space Race. He was very much a globalist, forging international trade agreements that gave US companies new markets for their products. However he was not a war hawk — the Eisenhower Doctrine was very much like Teddy Roosevelt’s — the USA walked softly with a big stick. CIA operations, later abused by less ethical presidents, enabled the USA to foresee foreign military conflict, but the USA never intervened in foreign entanglements unless they were asked to do so by an ally. Eisenhower expanded Social Security and updated civil rights legislation. Today the GOP has been taken over by a reality TV blowhard who is so proudly ignorant on so many issues, it’s unbelievable why anyone would believe his endless lies. The USA is losing the “easy to win” trade war, if you look at how US trade is going now. Ask your local farmer.
Are u Libs really that indoctrinate and shortsighted.. ( answer.. BIG ASTOUNDING YES)
You guys think its the president that bullies China…
What planet are u living on.. how brainwashed can u be? Mind boggling!!!
Have you guys ever looked at the playing field and how skewed it has been toward China’s benefit ? Have ever considered the absolute thuggish behavior of China toward IP and level playing field.
All you brainwashed bigots….You got it absolutely backwards ..
The president is not the bully… the president is the one standing up to the bully.
You ignorant brainwashed fools are actually rooting for the Bully!.
Its mind numbing how the liberal cons have brainwashed the sheep into mindless followers.
Anyone with 2 cents worth of objectivity can see the bogus skewed trade relations between us and China..
Yet you guys are actually Rooting for China.. ? Wooooooowwwwww
Man the level of ignorance and indoctrination is scary..
Far far far scarier than any misconduct by Trump !
Wow. Are you really this brainwashed by FOX? Nobody is rooting for China, we are all just bright enough to know that the way he went about his idiotic trade policy was doomed to failure. China could have been dealt with if he hadn’t alienated every other trading partner we have. The specific purpose of the TPP was to isolate China and leverage all the other Asian countries against China. We also could have used Europe, but he picked a fight against them at the same time, making it impossible for the Europeans to weigh in on our side. BTW, I’m not a “Lib”, and did policy work for Republicans in the past. This administration is a dangerous collection of incompetent buffoons with a complex about this small dicks who have to create fights with everyone to compensate.
“Truth”, you might want to start reading the financial news instead of watching your favorite talking heads. Every day shows more economic uncertainty and risks, and all of it should have been avoidable if someone with a steady hand was guiding foreign diplomacy. The economy is weakened when trade is weakened. That is an unavoidable fact, and the damage is NOT short term. Trump is not the man the US wants at the helm. Set aside your admiration of his pig-headed bravado and look at the results. They do not look good. China has much, much more ability to withstand the trade war than the USA has. For one, they have a much larger population. For two, they can export their junk to all other nations. Trump ripped up the trade agreements that were in place with US allies, so those nations will be free to choose the lower cost Chinese supplier next time they want to buy steel, or anything else.
Trumpanzees predictably go on personal attacks if anyone points out when facts contradict Il Duce Trump. Why don’t you want to read unvarnished facts over his repetitive lies? Take this report for example: “US Services Sector Slows; Orders Hit 3-Year Low”
https://www.reuters.com/article/us-usa-economy/u-s-services-sector-slows-orders-hit-three-year-low-idUSKCN1UV1UF
Read down the article, and not only are US services in decline, the cost of supporting the burgeoning US debt is also rapidly increasing, a reliable indicator of recession: “Treasury prices rose, with the gap between the three-month Treasury bill rate and 10-year yields jumping nearly 27 basis points, the widest since April 2007. This curve “inversion” between the two maturities has preceded every U.S. recession in the past 50 years. ” Well it took a while, but as economists of all political persuasions predicted, the tax cut sugar high indeed has worn off. Now the US will be paying even more to service a debt growing FASTER than the previous administration. Obama never had $US 1.25 Trillion deficits. Trump just signed that budget into law without hesitation. So much for balancing the budget in 8 years as promised…..
Trump often claimed he has jump started the US economy but, once again, he is proven wrong. Trickle Down economics has been proven that it does not work AGAIN: “The economy grew at a 2.1% annualized rate in the second quarter, down from a 3.1% pace in the January-March quarter. Growth estimates for the third quarter are around a 1.5% rate. The economy is slowing largely as the stimulus from last year’s $1.5 trillion tax cut fades. ” You see, the rich are very good at hoarding their wealth. If you give them more wealth, very few of them attempt to directly create jobs. They do however stroke their egos buying art, wine, real estate, and other collectables, but that doesn’t put food on the table for
So the Trumpanzee will then talk about JOBS JOBS JOBS. Okay, lets go there: “The economy created 164,000 jobs in July, pulling back from the 193,000 positions added in June, the government reported on Friday. ” Okay but certainly not strong.
For anyone with an understanding of how interlinked the global economy is, and how futile it is for the USA to wall itself into an isolated fortress in order to feel strong, the data is rolling in. The decade-long economic expansion that the Trumpanzees decried as being horrible and unacceptable is now looking MUCH more preferable than the drunken craziness the tweeter-in-chief has chosen. He was soooo confident that unilateral trade wars were easy to win that he forgot about China’s ability to further devalue the Yuan – just like Trump and several previous presidents have actively tried to devalue the dollar. Ooops. Two can play that game. Both will lose, but as the more mature specialized economy, the US has much more to lose.
“it’s always darkest before the dawn.” hehe, what sound legal advice you have.
And sometimes its really dark and then you die.
Hope all those on fixed incomes don’t have a lot of money in the Stock market!
Drumph wants people on fixed income to work.
He brags incessantly about the ginned up seasonally adjusted U3 employment rate — something he accused the other party of when Obama delivered a continuous recovery from the Georgie Bush recession. But Drumph’s followers ignore the total U6 unemployment rate which includes those who stopped seeking employment. Drumph ignores the hundreds of thousands of opiod addicts who are basically unemployable. The economic momentum Drumph inherited is wearing off, as everyone predicted.
Drumph will have to explain to his rally dittoheads why his policies haven’t continued the trends he inherited, and why raising consumer prices have more than erased their meagre wage increases. Corporations aren’t building new factories, they are socking away cash for the trade war.
What exactly has Drumph accomplished? His campaign promises were well documented, why doesn’t Fox provide a checklist on progress? The revolving door white house surely must have some objective evidence to show… wait, no, they don’t.
Drumph does avoid speaking about the deficit. How about the costs of healthcare. Those rates are still spiraling upwards with no proposals to resolve it. Another broken promise from Drumph. He will just blame Mestizos for it, and his idiot followers will agree. As if emergency rooms weren’t overflowing with uninsured people with preventable conditions. All paid by working class taxpayers.
I remember when very smart people used Macs.
You mental midgets can’t stand the fact that President Donald J. Trump is, and will be the most successful President in U.S. history.
Donald J. Trump, A True American Hero! 🇺🇸
TRUMP/2020 🇺🇸 Don Jr. 2024 🇺🇸