New York Stock Exchange bins China’s three biggest telcos The Register’s writers and readers may have taken a few days off, but the US/China trade war rumbled on regardless. So let’s get caught up, shall we? The big item in the break was the New York Stock Exchange (NYSE) announcing [PDF] that it would de-list China’s big three telcos: China Telecom, China Unicom, and China Mobile. …
This trade war is one sided -- the US keeps on coming up with ways to 'punish' China which either will or will not cause the Chinese to retaliate. This is a good example of a particularly mindless piece of provocation becuase forcing these stocks to delist from the NYSE won't hurt the companies a bit, the only people that will lose out are US investors. So let's not call it a 'war' because this implies its two sided which its not. Its just the US government thrashing around because, like other late stage Empires, it doesn't like being challenged.
Quite honestly, we appear to be scaping the bottom of the barrel trying to find stuff that will hurt the Chinese. A lot of it is mindless -- for example, there's this ongoing campaign to purge Huawei from 5G networks, a campaign involving a massive lobbying / strongarm effort by the US, government to government. The problem is that one of their alternative suppliers, Erisscon, has about half the market for base station equipment in China. If government action prevents Huawei from participating in, say, Sweden's comparatively small market then we shouldn't be surprised if there's a risk that government action would impede Ericsson's much larger market in China. Its dumb to try to force markets to conform to outmoded models, they're like water, they'll always find a way and, like water, if you're in the way you're likely to get washed away.
They won't care, there's no shortage of capital in China. Stuff like quoting telcos abroad is more about stabilizing the customer than the supplier.
$8 trillion more US debt under Trump, most of it handed to unproductive rich Republican parasites. They in turn need to swap that money quickly into concrete assets. Here there are 3 less concrete assets to put it into. 3 fewer real assets they can buy with the fake printed dollars.
You know the unit of PE is years right? Perhaps they'll pump up the price of Tesla more? PE of 1400? i.e. at the current earnings rate, it would take 1400 years for Tesla's EPS to repay the share price. Or buy some Snowflake, infinity years to repay those shares.... everywhere over-inflated assets.
My guess for the mid term, is that China will make their currency interchangeable with others. It will become the de-facto transfer of value across the world. After a while countries will stop transferring out of the Yuan and it will be the de-facto currency for holding capital. Backed by massive manufacturing profits from the worlds biggest manufacturing and services economy.
My guess for the US for short to mid term, is, Trump will pretend to be the defacto leader of the Republican party, whine and lie endlessly to undermine everything. Republicans will undermine the vaccine rollout to keep the virus going, hoping to score political points from the deaths they cause. Economy will be crippled by their efforts. Trump will lose again in 4 years time, he will try to cling onto 'leader of the Republican party role' anyway. Republicans will be weaker and unable to eject him then also. GOP disease will cripple America.
The more Republicans lose, the more extreme the voter suppression and election rigging will become. The Georgia-Trump election rigging phone call is likely the tip of the iceberg for what they did this time. Look at Texas and tell me Republicans didn't rig those paperless DRE machines! Yet they did all those other election rigging and vote suppression in Texas, somehow they stopped short at simply running some software on computers! 40% swings in some counties to Republican?! Huge swings across the board going against the polls. Implausible, unbelievable, unreal.
I'm pretty bleak on USA's future.
Stick a fork in it, it's done.
The fact that the economy of the world is so intertwined is often brought up as a reason major wars cannot happen in this century. I think we should be concerned with attempts to cut economical links between two major superpowers. There's however a good chance that whatever is done now by the US government will be overturned soon enough, as in by the end of the month.
I doubt that much that has been done by Trump will be undone by Biden, although that may depend on which billionare's lobbyists get to him first with the requisite encouragement.
I do think Biden leans more toward an anti-Russia stance than an anti-China stance so his actions may in the future focus less on China.
Looking at Biden's appointments so far I suspect he is likely to more or less pick up where Obama left off, with just enough differences to add his personal 'flavour' to proceedings.
Indeed it is not. Finance is global, and been since before Apple became the mage-conglomerate it is today.
The few times I dabbled in buying shares online, I was given a choice of all the stock exchanges that were open at that time. NYSE was not, but Australia was. Of course, I didn't need to choose any stock exchange that far, but the choice was available.
When you have the world available at a click of a mouse, delisting from one entry is not going to make one whit of a difference.
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