Will President Trump Kick China out of Financial Markets?

When looking over the numbers in how much new US listings are Chinese companies reaching over 55% this year alone, the story of the level of pump and dump going on in the Chinese Financial indexes is pretty staggering and has US officials at the highest levels eyeing their options with great concern.

If you haven’t seen the movie “The China Hustle” which is about how corruption inside the Chinese markets where wall street is a major player, I highly recommend it in order to get a fuller picture of what is truly going on. Its an eye opener for sure!

The other major problem and part of the CHICOM’s strategy is their investments in pension and American retirement funds is currently at 4% and expected to rise which makes any move like this a pretty intense signal to China that the carpet is about to be pulled out from under their feet but not without some risks to those funds should they decide to go that route. Of course such a move as the video articulates does not come without risks, such as risking further damaging relations, US financial markets reputation taking a hit, as well as other geopolitical implications that affects other trading partners.

The real obvious Elephant in the room is that no trade deal is going to be made or is even possible at this point, and that the CHICOM’s are putting all their chips in supporting whoever gets the nomination for the Democrats in 2020. In fact, even if Trump wins in 2020, the CHICOM’s strategy is to wait it out with Democrats thwarting Trumps agenda with the long game which to their credit they are very good at. So with the latter just being stated, the likelihood of a move like this is quite possible if this trade dispute continues, and China continues their theft and espionage, then the move behind the scenes will be the most prominent consideration in getting China to scream “Uncle” or simply watch China self implode due to lack of capital to back their paper Tiger.

Watch the video and add your thoughts on the subject matter.

Doubtful as it would likely precipitate at least a temporary crash of stock markets world wide.

I certainly can’t see him doing so prior to reelection when he could then afford to become extremely aggressive in neutering China and reversing their rise to global power.

Well you could be correct, it would be painful, however just a few points here to consider why a mov like this is not out of the realm of possibilities. I would agree that he wouldn’t make such a move within the next 11 months. The only exception of course is if China did something drastic to solicited a adverse reaction such as a military action on HK or something else that invites the scorn of other World Nations to condemn China.

  1. If Trump is impeached (hypothetically speaking of course) then he has the power to totally screw over the Democrats and their Chinese cash cow by making such a move.
  2. If Trump wins a second term, and the CHICOM’s with their lobbying efforts and the Democrats continue their game of obfuscation, Trump will have nothing to lose and will use the threat of such a move as leverage, which IMO is how he operates.
  3. Lastly, if the Multi-national Corporations on Wall Street try an end around to Trump’s trade policies by committing corporate espionage then such a move would basically neuter them to the point of no return.

The biggest sign to watch for is what institutions such as JP Morgan Chase do in terms of their investment holdings in foreign capital markets and companies. That should be a clear indication that the risks are real and such institutions would be looking to limited their exposure by being reluctant to holding on to such investments or making any new ones in the future.

No argument from me but if he did it and it was seen as an act of sabotaging the nation on his way out after being impeached it would do huge harm to the republican party for decades to come.

If he wants until after reelection he could implement it in a step wise fashion by blocking them out of one industry or sector at a time which would still force the Chinese to their knees in short order.

He’s already gotten them to cave on imports of beef, soy, pork etc so we know the pressure campaign is working.

Well this story seems to be gaining some traction now! Coincidence that all the other controversies are happening right now?

Pour it on Mr. Trump, pour it on.

Here is a better read on this story. It looks like others are starting to see the bigger issue here. I wonder if this issue is what created the fake Whistle-blower story and forcing Democrats to act out of desperation!

1 Like