Subscribe to receive this FREE daily commentary directly in your email
2019 is nearly here, and that means it is time to roll out my ten predictions for the new year. As I did last year, I will start with number 10 and work our way up to number 1 over the last month of 2018. Enjoy!
Prediction #2 – U.S. and China Settle their Trade Dispute
The trade war between the U.S. and China has raged for nearly a year, and the two sides will likely agree on a deal before the March 1 deadline. With equity markets in the U.S. and China reeling on fears of an economic slowdown, China will finally agrees to some of the U.S.’s demands. China agrees to buy more agriculture goods from the U.S. Meanwhile, China will further open its markets to allow U.S. companies into the economy without having to hand over intellectual property.
Tariff’s Over
In exchange, the U.S. will drop its tariffs, and direct investment by U.S. private companies into China will once again resume. Currently, the uncertainty and threat of a further escalation of the trade war have slowed direct investments into the country.
Global Recession Avoided
With the trade war now over, the global economy begins to pick once again up, and both sides see a meaningful jump in their economies, avoiding a global recession.
President Trump is so excited about this deal he invites President Xi to Mara Largo for a week to lay in the sun and get in some rounds of golf.
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results.
predicitions, trade war, 2019, u.s., china
Subscribe to receive this FREE daily commentary directly in your email
This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
Comments are closed.