here is how I see it playing out.
firstly, this is trump's way of calling China out and nothing will drastically change at the end of this.
secondly, the US & China have a symbiotic relationship where US are the biggest consumers of made in China goods and China are the biggest buyers of US debt so the wheel will need to keep turning so both don't crash. remember what Sinatra said, "love and marriage go together like a horse and carriage, this i'll tell you brother, you can't have one without the other". That describes this relationship. if anything its a distraction from other domestic issues like gun violence and his tax reforms and also the midterms in nov.
thirdly, the Yuan is pegged to the USD so the US really don't gain an advantage by trying to devalue the USD cause the Yuan will move Inherently on Its own from the peg.
also, the chInese have theIr own debt Issues so they can't afford to not keep funding the US's hunger for bonds otherwIse they wIll both wIll collapse. Its a matter of whether eIther wIll flInch and I dont thInk they can afford to. so in conclusion, the same wIll continue unless trump goes radIcal whIch I don't belIeve he wIll, at least not wIth ChIna.
BAL Price at posting:
$11.77 Sentiment: Hold Disclosure: Held
