by truthlover123 7 Replies latest jw friends

  • truthlover123

    I am not a mathematician, so I have a question -- the Dow dropped almost 900 points today due to China devaluing its yuan against the US dollar.

    What will the impact be on markets as well as the farmers, steel, etc.? - this is crazy and as DT is a tariff guy, the country is being devastated by the results. Pension plans also impacted everyone!

    Coal miners have lost jobs, auto makers are going out of business, and the country of China was the one that floated 1 trillion dollars during the financial mess Obama dealt with.. US still owes on that loan.

    Where is this all headed?

    Sorry, two questions actually. Third - is this the time to have some money in the mattress?

  • smiddy3

    China wants to be THE main player in the world of Politics , Economics and eventually in the Armed Forces.

    Who knows where this will end up ?

    However one thing is certain . No nation ever holds power / dominance forever .

    History has proven that time and time again.

    { I would love to be around to see the changes in world shifts in alliances ,dominant powers and what it would mean for the every day individual no matter where they lived over the next 1000 years }

    Sadly that wont be the case ,however what I do know is it wont be a Theocratic rule by Jesus Christ.

  • zeb

    China devalues..? The everything Chinese should be cheaper to buy. An Australian Prime Minister devalued the Australian Dollar once by 17% and every one said he was wonderful. I dont recall getting anything out of it.

  • nowwhat?

    For decades China promises and promises and our gullible politicians in the past have bought in or sold out. With this tariff war China is hurting more than us. Stocks will slowly climb back up

  • WTWizard

    The Dow can drop just so much before the Fed comes along and props it right back up. New all time Dow highs, new S&P all time highs, and no trace of any drop. They do this every single time the Dow tries to drop to levels closer to its fair value (which is zero, since all these companies are rubbish). No matter what, they simply will not let the Dow go down and stay there.

  • LV101

    You're right, nowwhat? This problem re/China should have been faced and dealt with by previous presidents but they were clueless/inept/ and too weak to deal with it and China's economy has been slippery slope for awhile now. Even gamers from here have dealt with it over there. Yes - stocks will survive.

  • rickroll

    The US has let China get away with murder over the last 20 years. Now they don't know how to deal with Trump who is not just bending over for them. They have issues in Hong Kong, and their people are hurt with their buying power by devaluing the currency. They are blinking today and the market is doing a small bounce. It may take some pain but if Trump can get China back to playing on a level field we will do much better. But if libtards come in and run back to America needs to bend over for everyone and be the worlds battered shelter then we will head back down the wrong road. Trump 2020

  • shepherdless

    Initially, I could not work out why Trump was so popular, but I get it now. He is very conservative on all social issues, but on most economic issues he says and does all the things that a populist (usually a left wing one) would say and do. Tariffs and budget deficits are things that conservatives normally fiercely oppose.

    I think the above posts demonstrate that Trumps approach resonates with a lot of people; particularly the mentality that if China got rich, it means they must have taken that wealth from someone else (ie they can’t have created it themselves).

    Under Trump, USA is spending about $3.4 trillion per annum (making Trump easily the biggest spending President ever), $750 billion p.a. of which has to be paid for by future generations (also a record). Astonishing from a so-called conservative!

    In about March last year, Trump tweeted “trade wars are good, and easy to win”. (An astonishing comment, given trade history.) Ever since I heard that, I have taken an interest in how this slow moving train wreck, even though I live in a third country, and it has nothing to do with me.

    In answer to the question about whether it is time to put money under the mattress, I think you see the answer in the US yield curve. It has inverted, which is a classic sign of a recession over the horizon. (Almost every recorded inverted yield curve in modern history has been followed by a recession within 2 years.)

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