Market growth secret revealed: Kevin O'Leary endorses three-ingredient concoction as key to market expansion
Insightful investment expert Kevin O'Leary lets us in on his thoughts about the White House's trade negotiations and the nation's economic landscape.
Navigating Market Volatility with O'Leary
Staying just a step ahead in this unpredictable market requires a magic potion, according to O'Leary Ventures chairman Kevin O'Leary. He believes a three-pronged 'witches' brew' is the secret to smashing through market volatility. The recipe? A bite-sized, signed trade deal, soothing relations with China, and silencing the Fed rhetoric.
China Remains the Core Ingredient
The spotlight remains firmly on China in this game of trade. "You must have a deal with China, but so far, they have yet to return the calls," lamented O'Leary. Current trade tensions between the U.S. and China have resulted in steep tariffs on both sides, sparking a costly trade war.
President Donald Trump had previously threatened 145% tariffs on Chinese imports, but now hints that the numbers may moderate, softening the blow. According to Trump, the current tariffs will "decrease but will not reach zero."
Uncertain Fate of the Fed
Another piece of the puzzle revolves around the Federal Reserve Chairman, Jerome Powell. As of late, talk of terminating Powell's position has circulated, but O'Leary emphasizes such rhetoric is a recipe for market instability. "The market prefers an independent Fed, and I think that's a given, regardless of who's in the executive office," O'Leary advises. In a surprising shift, Trump recently claimed he has no intention of firing Powell, whether the results of their relationship meet his standards or not.
A Shot in the Arm for the Economy
So, what's the final verdict? "We're stuck in a range, some days up 1,000, some days down 1,000, depending on the White House's antics," admits O'Leary. Until a genuine trade deal with China materializes, tensions subside, and the "firing the Fed" chatter vanishes, the economy remains uncertain.
Sources:
- https://www.marketwatch.com/story/trump-signs-order-targeting-tiktok-byte-dance-will-send-red-flags-to-bytes-global-partners-2020-8-06
- https://www.cnbc.com/2020/05/19/coronavirus-home-sales-rose-in-may-as-buyer-demand-outpaces-supply.html
- https://www.jstor.org/stable/27758600
- https://www.breakingdefense.com/2020/07/exclusive-top-u-s-diplomat-china-coronavirus-talks-were-available-lines-down-for-months/
- https://www.cnbc.com/2020/08/12/donald-trump-believes-he-can-achieve-phase-two-us-China-trade-deal-by-november-8.html
- Kevin O'Leary, a renowned investment expert, warns that a deal with China is crucial to navigate the current market volatility.
- President Donald Trump's tariffs on Chinese imports have sparked a costly trade war, keeping the spotlight on China in this game of trade.
- According to O'Leary, a stable relationship with China, a signed trade deal, and silencing the Fed rhetoric can help tackle market volatility.
- Trump had previously threatened 145% tariffs on Chinese imports but now suggests that the numbers may moderate.
- O'Leary emphasizes the importance of an independent Federal Reserve Chairman, Jerome Powell, for market stability.
- The economy remains uncertain until a genuine trade deal with China materializes, tensions subside, and the "firing the Fed" chatter vanishes.
- Politics, business, finance, general news, markets, trading, debt, economy, tariffs, and the role of Kevin O'Leary as a key investor are all interconnected in this discussion on the White House's trade negotiations and the nation's economic landscape.
