Stocks Clock Out China Time 🇨🇳

Stocks Clock Out China Time

Yank. The companies in your investment portfolio may have just given up their big manufacturing presence in China, packing up for other Asian shores. The likes of Apple and GoPro are happy for the trade skirmish to continue, so long as their profits aren’t on the line. 

Fists up between the US and China. Since reopening trade talks at the G20, the back and forth has only featured snaps and barks between the two countries. Some argue it’s advantage Trump given a July interest rate cut emerging. That cut could prop up the US economy while the President plays his final hand against China, $350 billion of tariffs against all of the country’s remaining trade. Eek!

China’s trying its best not to flinch. Standing firm in Beijing, President Xi has enlisted the help of hardliners on this issue who won’t concede any margin to Trump. However, the fate of his nation may not be in his hands. Investors increasingly see China as a sitting duck for more tariffs, and now companies are getting out while they can. 

Tipped as sure-fire departures; Apple, Dell, HP, GoPro, and 46 other companies from around the world. Seemingly every corner of the stock market has a company who wants out, from shoes to automobiles, from wristwatches to home appliances. Chinese incentives for these companies to reconsider appear to have fallen on deaf ears, but these firms aren’t traveling far — destinations including Thailand, Japan, Taiwan, Vietnam, and Mexico. As trade pressure escalates, more outbound businesses could follow.

Market watchers will note that only one company is said to be headed for the US. However, even though supply chains in both countries are under siege from tariffs, this news might be the beginning of the end for the trade war. Don’t hold your breath!

Share:
More Posts
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.