FYI: Bull markets climb a wall of worry, according to the old market saying. Plenty of bricks are being added to that wall for investors to scale. But the worry might not be justified. Stocks slid on Friday following a Bloomberg report that the Trump administration is mulling curbs on U.S. investments in China, including limiting pension funds’ holdings of Chinese stocks and delisting those shares from U.S. exchanges. This would escalate the U.S.-China trade war by adding capital flows to the conflict, which already involves tariffs on billions of goods transactions.
In actuality, this proposal has been around a while, according to Leland Miller, who heads China Beige Book International. And looking beyond the sensational headlines and the extreme comments in the Twittersphere, there is good justification for it.
Regards,
Ted
https://www.barrons.com/articles/phantom-fears-take-a-toll-on-stocks-51569636522?mod=djem_b_Weekly Feed for Barrons Magazine
