Slump in China's Yuan will offset US tariffs

I didn't say so, many news said it,

https://www.businessinsider.com/trump-tariffs-trade-war-layoffs-business-losses-2018-8

https://www.cnbc.com/2018/08/24/tra...prices-go-up-sales-go-down-jobs-are-lost.html

there are more, but you get the idea.

https://markets.businessinsider.com...s-on-trade-war-with-china-2018-9-1027518683#2

https://markets.businessinsider.com...s-on-trade-war-with-china-2018-9-1027518683#2

 

And yet absolutely nothing what they predict happens and the manufacturing jobs grow at the highest rate in 23 years.

But by all means don't let facts and reality confuse you and cloud your pundits-induced clarity.

 

right so you find one article while I find dozens, you just ignore it. I guess ignorance is a bliss.
oh btw your source was dated aug, which was before tariff hit. even now tariff has been dull by weaker yuan. wait till 2019 after 2nd quarter, if tariff continue by then, then we can compare economy from 2017/2018/2019.

 

No, we must more carefully deal with China to ensure both economies are benefiting from the arrangement. Using tariffs is a very blunt instrument which threatens the established order, and risks US-Chinese diplomatic relations getting even more sour. This could not only blow up both economies and take down the rest of the globe with it, but also put both countries on a more Nationalist footing and risk the outbreak of war over Taiwan. We need real diplomacy and negotiations, not this strong man farce which Trump is doing, a kind of outdated "art of the deal" where Trump is in over his head trying to play China like he does the New York Real Estate market. Its foolishness and dangerous on many levels, we shouldn't just bow to China's every demand, but we shouldn't alienate ourselves from this vital economic and political partner.

 

Forcing banks to extend mortgages to people who couldn't repay them brought collapse. Oops!

 

I found data, aka facts, you found baseless and already debunked opinions.

 

you found data dated back aug.which was before tariff hit. even now tariff has been dull by weaker yuan. wait till 2019 after 2nd quarter, if tariff continue by then, then we can compare economy from 2017/2018/2019.

 

Yes, temporary bubbles created by these tariffs which will disappear once sanity has been restored to governance. Republicans are so short sighted, what good is short term gain in the face of so much risk and instability in the wider market. Deregulations are good for short term growth because they incentivize increase risk taking, which greatly increases the risk of major economic crises, particularly in the banking sector.

Tariffs are almost never long term policies, and we have made no attempt to equalize regulations and wages between markets in order to balance incentives to outsource production and labor, which means when they go away, there is nothing to stop a second hollowing out of American manufacturing, which complex manufacturing never really left.

Everything is essentially now built on an insane house of cards built with all manner of debt, which was resultant from the low interest rates we have kept across the globe to increase the amount of money in the system. This causes short term growth, increased employment, etc. but is usually followed by a major market crash, where all those gains will be meaningless in the long run. And we will use more austerity to reduce the deficit which will only exacerbate the circumstances for average folks when that next crisis hits in the next couple of years. Short sighted and irresponsible policy, across the board, meant to enrich the ultra-wealthy.

 

Yawn, speculations again, i wish i had a yuan for each time a lib speculates about the "inevitable" collapse of Trump's policies. Lol

The hard undeniable fact is that the only thing that's collapsing is Chinese Yuan while the US treasury is making out like a bandit off the tariff loot lol

 

And yet Bankers wanted this too, doh! Every bank in the world almost crashed, because the profits they were getting off of CDOs and Synthetic CDOs were such a huge portion of the economy. They only saved the system by creating a synthetic economy for these now worthless CDOs to be propped up by the Treasury, and current deregulation is creating similar sub prime markets which we can scarcely keep track of.

You wouldn't have seen such growth in the 2000s without this policy. Supply side economists keep driving for unrealistic growth at the expense of increased risk which tanks the system.

 

lol, ignorance, you might as well pull out data before 2008 for your argument. trump 200B tariff start after aug, so you wont see effect till several month later. wonder why market drop in oct, then raise after heard of trump and Xi talk went well.
china is an export economy weaken yuan mean they can export more, they devaluate yuan intentional in 2000s for this particular reason. that's a fact, but of course you gonna ignore it cause anything not suit your opinion is not fact.

 

How's that balance of trade looking? Doh!

 

They are, for our competitors, China, Canada, Europe and others and that's exactly how they have been achieving competitive advantage and ripping this country off for decades now. Trump is merely fighting fire with fire and is winning... just like he promised.

 

No noticable change so far, like the OP says, China's currency is collapsing making everyone in China poorer while the US is filling its coffers with tens of billions of tariff dollars and has absolutely no negative repercussions.

Let's see how long China can sustain the collapse of its currency before it establishes parity with Zimbabwean dollar.

 

I am merely responding to OP by some clueless lib trashing the tarifgs. The fact is, so far so good, no negative repercussions for the US while tens of billions of tariff dollars are being added to treasury coffers as we speak.

Meanwhile the Chinese currency is collapsing as we speak and if you imagine it's a good thing, ask Zimbabweans or Venezuelans.

Well done mr. President.

 

lol are you kidding? lower currency means, they basically negate the entire tariff, and mean US export are more expensive to them. what this mean, is that we still import the same amount of stuff from china, but our export to china are less. They can make their own cheap products, no need to import that. furthermore they have $3T in reserve to stimulus their own economy if it fell too much, they did it in 2008. China let the yuan drop so it can counteract the tariff. Tariff is pay by consumer, which is just another fancy way to say its tax. for export orient economy such as China/Japan/Skorea, weaker currency is better for them.

 

Yeah.... too bad it means that absolutely everything they have is worth less, everything they need to buy (i.e oil) is exponentially more expensive, they are getting poorer by the hour. Like i said, ask Zimbabweans and Venezuelans, by your logic they must be the most prosperous countries.

Oh and we can always double, triple, quadruple the tariffs, can they devalue the Yuan to 1/4th of what it's worth now? Yes or No?

 

You may not want to celebrate that too much, since China is a major buyer of the explosive new debt that the Trump Administration is running up.

And you also may wish to consider that currencies fluctuate, but tariffs do not.

At least that is, until we are no longer governed by a game show host who thinks doing Archie Bunker schtick in the hinderland is all there is to being a President.

 

Their currency isn't collapsing, they are purposefully devaluing it by printing more. This will make Chinese goods even cheaper and offset any advances in balance of trade on our part, while also risking both economies in the process if there is an untimely downturn, which will likely be worse than 2008.

But of course, short term gain gives false pretenses of sustained growth, which of course in this longest bull market in history, is really living on borrowed time.

 

Us versus the world, what could go wrong! Stupidity at its finest.

 

China's economy is crashing already, and the tariffs can become far more restrictive.

 

The tariffs are the only action that has gotten chibas attention

If you can think of a better way to return jobs to America that were lost to china lets hear it

But I dont think the chinese will like you way any better

They are a mercantilist nation trying to take away what we have

 

Lol whatever, they net less in dollars (same market price minus tariffs) but they pretend it's the same amount by devaluing their own currency. We have no negative repercussions and fill the coffers with tens of billions of tariff loot, they face inflation (printing money... good idea, huh?), diminishing purchasing power, collapsing standard of living.

And the good part is, we can double the tariffs overnight, can they devalue their paper money by 50% and survive as an economy? Duh

 

The rest of the world is already caving, and China will do so soon or face far more damaging tariffs
Xi just offered Trump a 50/50 compromise - a good start. Read the news.

Trump, Xi upbeat on U.S.-China trade disputes ahead of meeting

By Susan Heavey and Joseph Campbell
,
Reuters•November 1, 2018

 

So far so good, excellent GDP growth, amazing job market, skyrocketing stock market, peace and prosperity, the return of manufacturing jobs and tens of billions in foreign donations - aka collected tariffs.

Stop fretting and enjoy the good times, they may not last if the liberal mob wins the house.