China will raise tariffs on US goods from June 1st

Quoting eleste

Disliked

That is bullshit, China can not live without USA agriculture, to many people, if they do so, is a matter of time till population wil starve and make a revolution...so, my opinion, just bullshit

Ignored

Wrong - Brazil, Russia, and eastern Europe will gladly make up the difference.

MAGA.

barkie

May 13, 2019 7:30am

Quoting eleste

Disliked

That is bullshit, China can not live without USA agriculture, to many people, if they do so, is a matter of time till population wil starve and make a revolution...so, my opinion, just bullshit

Ignored

Mate, didn't you hear that Juncker is already in China to make us benefit hugely from DT's silly actions ?

Bingo !

May 13, 2019 7:40am

Quoting digit1288

Disliked

Just dumping of treasuries will screw up the US

Ignored

If only it was that simple. Repeating infantile rhetoric instead of understanding why dumping treasuries is actually bad for China. Do some research as to why that is the case and then ask yourself why hasn’t China already done that?

I’ll wait.......mic drop (sexy Saturday Night Fever dance)

venividivici

May 13, 2019 10:51am

I remember when not every item was chinese made - a time where goods actually had some quality and small business were thriving and each country was sustainable, maybe not everything trump does/says is a bad thing, sacrifices are needed to move forward sometimes.

Sesamstrasse

May 15, 2019 1:03pm

Back to "Made in Germany"

impunctual20

May 13, 2019 7:19am

Game of trades

May 13, 2019 8:37am — Edited

You certainly can’t blame Xi Jinping for his actions, like he said, “I have to be concerned about the will of the people”.

“The will of the people” and Communism, wow, talk about an oxymoron.

Tony112

May 13, 2019 12:09pm

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May 13, 2019 6:53pm — Edited

Quoting Bicarus

Disliked

{quote} it will probably be a strategic dump. 1) get cap to weather the tarrifs, 2) do some damage in the process. emphasis will be on 1

Ignored

I doubt it will create any real damage. They dumped 1/2 trillion in US paper in 2015-16 on fears of waning domestic growth (global growth concerns). By the summer of 2016, 10-year yields dropped to a record low of 1.3% or something in that range. Why? Because there will always be a buyer for the best game in town....US debt. Look at the yields in Japan and Europe. Not very attractive.

Also, selling US treasuries weakens the dollar verse the Yuan leaving less room for Chinese policy makers to depreciate the Yuan more to offset tariffs.

Thirdly, China has some huge projects in the works around Asia. Dumping US paper may spook investors. And if that happens, where do you think some of that capital flow will go?. Ironically, a lot of it would likely end up buying US paper. I don't think spooking investors is something Jinping wants to risk at this juncture.

Other reasons as well. Imho, China would be shooting themselves in the foot by dumping US paper, especially since it would only drive up US borrowing costs for a very short term period. I still think more of the risk is on China.

They say the Chinese are thinking long term. If dumping debt truly punished the US, then maybe a good idea, but likely it will hurt them more and I don't think XI Linping wants to take that risk, especially after they have seemingly gotten their growth back on track. But, like Trump, Jinping needs to keep an image of confidence and strength.

I find it hilarious how so many blabber on about "Trump is just trying to get rich with his buddies". Yea that makes sense. I'm worth 7 billion and have Melania at my side. I better start a trade war knowing that US equities will lose billions in market cap. Good plan. ( let me guess, his friends are all shorting the market before he makes his tweets). Comical but the typical victim mentality. My life sucks and I haven't produced any real results in life because the 1% percenters are getting rich. SMH

Cheers and good trading

May 13, 2019 8:07am

Quoting thatguy22

Disliked

Nice work mr president, great deal, the best deal. this will help the stock markets for sure

Ignored

You write in sarcasm but in the LONG RUN this WILL help the stock market.

digit1288

May 13, 2019 7:29am

Just dumping of treasuries will screw up the US

Haas9

May 13, 2019 7:41am

Trump is only is hurting USA harmfully put new tax on his people under the name of trade war if he really care about starving people and want to give aids so just stop encouraging wars in middle east where hundered of childs die every day from starving

Hutch

May 14, 2019 1:00am

China doesn't have enough fire power to dump treasuries but all it has to do is to stop buying them and we will have problems finding buyers in this low rate environment. If this happens interest rates will have to go higher so the value of existing treasuries will go down. Not good for us or anybody else.

Hutch

May 15, 2019 5:41am

Quoting Guest

Disliked

China doesn't have huge domestic consumption. They need high import revenue to sustain all the debts corporation are under. Europe, Asia & some African nations don't provide as much revenue as US does alone (ie. around $450 B) next is Japan & South Korea (all US ally's). Regardless of China playing a victim card here. They have been stealing research data and intellectual properties of US companies. Image a company spends $1-2 billion in R&D and you have other person who can take it in few millions in few months. Trump should reciprocate...

Ignored

All countries, I repeat, all countries in the world have been stealing technologies from other countries. Do think that the US has never done it and that it's not doing it at this time? If you really think that you are wrong.

May 13, 2019 11:57am

Quoting blanco1958

Disliked

It's about time to curb the excessive flood of under-priced/inexpensive low-quality products from China.

Ignored

REALLY? That doesn't sound like a free trader point of view to me! The consumer wants what the consumer wants.

On a personal level I agree with you in principle BUT I am a capitalist at heart and a political Libertarian who finds an ally at times in Trump.

ALWAYS REMEMBER: The enemy of my enemy is my 'friend'

ekan

May 13, 2019 11:44am

Quoting Expo33

Disliked

{quote} If only it was that simple. Repeating infantile rhetoric instead of understanding why dumping treasuries is actually bad for China. Do some research as to why that is the case and then ask yourself why hasn’t China already done that? I’ll wait.......mic drop (sexy Saturday Night Fever dance)

Ignored

I totally agree. It is amazing how many people still subscribe to this most popular of delusions, even here on this trading website.

eleste

May 13, 2019 7:26am

Quoting smctrader

Disliked

{quote} Wrong - Brazil, Russia, and eastern Europe will gladly make up the difference. MAGA.

Ignored

Impossible man, all of them together can not supply what USA can do...and many american companies will must leave China, many hedge funds...

May 13, 2019 7:54am — Edited

Quoting digit1288

Disliked

{quote} "Many Chinese scholars are discussing the possibility of dumping US Treasuries and how to do it specifically."

Ignored

Dig a little deeper cupcake.

May 13, 2019 8:06am

Quoting wiseambition

Disliked

what is Trump achieving? other than crashing Wall Street and proving Sell in May and go away?

Ignored

The USA is proving that the USA is the 800 pound gorilla in the room - NOT China, they are the 700 pound panda.

May 13, 2019 8:09am

Quoting smctrader

Disliked

{quote} Wrong - Brazil, Russia, and eastern Europe will gladly make up the difference. MAGA.

Ignored

Attached Image

Russia and eastern Europe can barely feed their own populations you think their leaders will make their own people suffer to feed the Chinese?

May 13, 2019 8:11am

Quoting digit1288

Disliked

{quote} "Many Chinese scholars are discussing the possibility of dumping US Treasuries and how to do it specifically."

Ignored

This option is like a nuclear war; once one side fires then the other side unleashes everything - no one wins

May 13, 2019 8:13am

Quoting Ghass1234

Disliked

{quote} we are talking in this month sure this will damage the stocks , anyways it is all calculated , a correction has to happen no ?

Ignored

Most stock traders are looking for a reason to sell and take profit. A single 500 point drop in the Dow (which is a useless indicator BTW) is nothing. Look at the stock market charts in November and December 2018 and how it rebounded.

Let there be blood in the streets - let the masses panic while those of use get bargains.

Brentrading

May 13, 2019 8:56am

i wouldn't sell the yen against anything right now , its the safe haven together with gold if this trade war gets ugly.

harrybhullar

May 13, 2019 7:33am

Quoting eleste

Disliked

{quote} Impossible man, all of them together can not supply what USA can do...and many american companies will must leave China, many hedge funds...

Ignored

China already getting soy from India and leased lands for agriculture in Russia. Trumps just smuggy Chap, thinks himself as spoke of the world wheel.

Tony112

May 13, 2019 7:57am

Are you ready for the time of your life? I am. I've been waiting 25 years for that.

Ghass1234

May 13, 2019 8:08am

Quoting fxsport

Disliked

{quote} You write in sarcasm but in the LONG RUN this WILL help the stock market.

Ignored

we are talking in this month sure this will damage the stocks , anyways it is all calculated , a correction has to happen no ?

Bicarus

May 13, 2019 10:28am

Quoting Expo33

Disliked

{quote} If only it was that simple. Repeating infantile rhetoric instead of understanding why dumping treasuries is actually bad for China. Do some research as to why that is the case and then ask yourself why hasn’t China already done that? I’ll wait.......mic drop (sexy Saturday Night Fever dance)

Ignored

it will probably be a strategic dump. 1) get cap to weather the tarrifs, 2) do some damage in the process. emphasis will be on 1

May 13, 2019 11:51am

Quoting Bakker

Disliked

tit for tat is not going to work, in the end it will be fee trade as usual.

Ignored

Baker, that is WHY Trump started this tariff war in the first place - there WAS no free trade

ekan

May 13, 2019 11:59am

Quoting smctrader

Disliked

EU/China/Russia new best friends.

Ignored

It's more like EU and Ukraine are best friends, and Russia and China are best friends. Russia and Ukraine are at each other throats in a state of simmering almost-war, EU has put sanctions on a bunch of Russian persons, Russia is doing (hybrid) war of words on EU, and China and EU are in a state of shaking hands in front of the camera, stabbing at each other when no one is watching, but are careful not to wound each other too deep, so both can focus on their main enemy.

blanco1958

May 13, 2019 11:44am

It's about time to curb the excessive flood of under-priced/inexpensive low-quality products from China.

smctrader

May 13, 2019 7:41am

EU/China/Russia new best friends.

Maxthetrader

May 13, 2019 10:21am

Manufacturing returning to America.

American made T-shirts on the horizon. I'm tired of chinese junk anyway. Let er rip!

digit1288

May 13, 2019 7:31am

Trumpy has overplayed his hand. The great negotiator is holding a pair of deuces and has gone all in.

digit1288

May 13, 2019 7:45am

Quoting Expo33

Disliked

{quote} If only it was that simple. Repeating infantile rhetoric instead of understanding why dumping treasuries is actually bad for China. Do some research as to why that is the case and then ask yourself why hasn’t China already done that? I’ll wait.......mic drop (sexy Saturday Night Fever dance)

Ignored

"Many Chinese scholars are discussing the possibility of dumping US Treasuries and how to do it specifically."

wiseambition

May 13, 2019 9:09am

Sell in May and go away is usually a good maxim. It works more often than not. You can either be a chartist and try and understand Elliott Wave and all that stuff, which on fairly major timeframes (H4, D1 etc) now says sell, or you can go with sentiment and fundamental things, and thank or blame Trump for being the reason behind the downward price action. I can't see a reason to do anything else than dump shares, this is a stupid trade tit for tat that won't benefit even America just yet, and it is of course made worse by people in option and CFD trading who have the ability to go short and exacerbate the movement.

Trader#C084

May 13, 2019 7:56am

Quoting eleste

Disliked

That is bullshit, China can not live without USA agriculture, to many people, if they do so, is a matter of time till population wil starve and make a revolution...so, my opinion, just bullshit

Ignored

The EU is the biggest trader in agricultural products of the world, both in terms of exports and imports.
The US Agri exports in 2018 were c$140b. Imports c$125b.
With respect @eleste.. I believe your view of International Agri trade and food security dependencies is flawed.

May 13, 2019 8:31am

CAD/JPY on sale at 81.2 buy buy buy nom nom nom

Bakker

May 13, 2019 9:36am

tit for tat is not going to work, in the end it will be fee trade as usual.

maflip

May 13, 2019 7:40am

blah blah blah just stop trading with each other already. I know they want to

mades

May 13, 2019 7:57am

Quoting smctrader

Disliked

{quote} Wrong - Brazil, Russia, and eastern Europe will gladly make up the difference. MAGA.

Ignored

Lol. You don't know anything about those regions apparently.

May 13, 2019 7:57am

winter is coming.

May 13, 2019 7:27am

They will look for alternatives.

XuMar

May 13, 2019 7:54am

Let's we see all the stock market crash (not just a flash crash)

ForeverNewb

May 13, 2019 7:20am

now, can EU take advantage of the situation?? hummm...didn;t think so...

FlopHero

May 13, 2019 7:17am

Playing games with each other

BPetrenko

May 13, 2019 7:26am

Quoting smctrader

Disliked

{quote} Wrong - Brazil, Russia, and eastern Europe will gladly make up the difference. MAGA.

Ignored

USA is not the only country on globe....

pedron

May 13, 2019 12:35pm

Quoting Haas9

Disliked

Trump is only is hurting USA harmfully put new tax on his people under the name of trade war if he really care about starving people and want to give aids so just stop encouraging wars in middle east where hundered of childs die every day from starving

Ignored

Many more will die when China's economy beat the US. I'm I wrong or a bunch of people don't understand what communism is ?

JensOhle

May 13, 2019 12:43pm

Quoting Maxthetrader

Disliked

Manufacturing returning to America. American made T-shirts on the horizon. I'm tired of chinese junk anyway. Let er rip!

Ignored

... either by robots or imported Mexican labor?

...

JensOhle

May 13, 2019 12:45pm

Quoting ekan

Disliked

{quote} It's more like EU and Ukraine are best friends, and Russia and China are best friends. Russia and Ukraine are at each other throats in a state of simmering almost-war, EU has put sanctions on a bunch of Russian persons, Russia is doing (hybrid) war of words on EU, and China and EU are in a state of shaking hands in front of the camera, stabbing at each other when no one is watching, but are careful not to wound each other too deep, so both can focus on their main enemy.

Ignored

Matter of perspective ... CIA/Ukraine are best friends ... Europe is okay with Russia ;-)

JensOhle

May 13, 2019 12:46pm

Quoting fxsport

Disliked

{quote} {image} Russia and eastern Europe can barely feed their own populations you think their leaders will make their own people suffer to feed the Chinese?

Ignored

Why do you think that?

topor12

May 13, 2019 3:37pm — Edited

Quoting fxsport

Disliked

{quote} Baker, that is WHY Trump started this tariff war in the first place - there WAS no free trade

Ignored

maybe I think not quite right, we know that the goods of America are more expensive and why we know that goods from China are mostly educated for foreign capital, and cheaper, but we also remember the likely trade intentions of the parties China and the United States in exchange for goods The Chinese side bought planes from America. In connection with the tragic events, the Boeing 737 has flaws, could the Chinese side have a reason on such an important issue just wait, did Mr. President hear or did you and me with all the arguments about the deal ???
However, it was about a possible agreement for 2016, which is now offered by both parties, I did not find in free access

Ghass1234

May 13, 2019 8:48am

i wonder if compnies buys their own stock , so that we spikes going up like this , they buy to sell in a better price these fuckers

jrdFX

May 13, 2019 7:48am

China and US enjoying the show.

wiseambition

May 13, 2019 7:21am

what is Trump achieving? other than crashing Wall Street and proving Sell in May and go away?

Mr.Kebab

May 13, 2019 7:28am

Hopefully Europe can make somekinda deal with china to sell agriculture

thatguy22

May 13, 2019 8:00am

Nice work mr president, great deal, the best deal. this will help the stock markets for sure

thatguy22

May 13, 2019 8:24am

Quoting fxsport

Disliked

{quote} You write in sarcasm but in the LONG RUN this WILL help the stock market.

Ignored

I do. Why, please explain.

Trader#E3EC

May 14, 2019 2:07am

China doesn't have huge domestic consumption. They need high import revenue to sustain all the debts corporation are under. Europe, Asia & some African nations don't provide as much revenue as US does alone (ie. around $450 B) next is Japan & South Korea (all US ally's). Regardless of China playing a victim card here. They have been stealing research data and intellectual properties of US companies.
Image a company spends $1-2 billion in R&D and you have other person who can take it in few millions in few months. Trump should reciprocate in similar way China treats foreign company and importers. Then you will have fair deal.
Majority of US companies are starting to setup factories in Cheap labor country to counter trade loss. Apple has already started assembling Iphones in India.

eleste

May 13, 2019 7:22am

That is bullshit, China can not live without USA agriculture, to many people, if they do so, is a matter of time till population wil starve and make a revolution...so, my opinion, just bullshit

Trader#AB17

May 13, 2019 7:32am