Summary for the 19th of February 2019


The US President, Donald Trump, received on Sunday from the U.S. Commerce Department the findings about whether imported vehicles pose a national security threat. By designating the imports of autos and auto parts as a risk to the national security, the tariffs of 25% on auto vehicles could be implemented. Trump has for a while been concerned about how the tariffs on US vehicles are higher than on the European vehicles.

A report from The Center for Automotive Research shows that if the US imposes a tariff of 25% on auto vehicles, there would be retaliatory tariffs on US goods. The end results would cost the US economy potentially as many as 367 000 jobs. The President has 90 days to decide on whether to act on the findings.

The trade talks continue today between the US and China in Washington. The US trade delegation is led by the United States Trade Representative, Robert Lighthizer, while the Vice Premier of China, Liu He, would attend the trade talks later this week.

In the UK, seven of Labour members of parliament in the House of Commons have resigned from the party in protest at the leader of Labour party, Jeremy Corbyn’s leadership on Brexit, this can potentially lead to more members resigning. These seven will sit as the Independent Group in the House of Commons. The group wishes that the Labour party will change its strategy and back a new EU referendum.

Indices on the 19th of February: The US stock market was close yesterday (18th of February), and there has not been any market trigger for other stock markets.

Dow: Closed (18th of February )
S&P 500: Closed (18th of February)
Nasdaq: Closed (18th of February)
Nikkei: +0.2%  (19th of February)
STOXX Europe 600 Index: -0.22% (19th of February)

This post is sponsored by my video course in Portfolio Analysis, check it out if you are interested:
Quick and Easy Portfolio Analysis Video Course  (Skillshare)
Quick and Easy Portfolio AnalysisVideo Course  (Udemy)
and Facebook page for other information:
Quick&Easy Finance


Comments

Post a Comment

Popular posts from this blog

Summary for the 2nd of October -Weaker manufacturing outlook

Last week’s flash PMI estimates for the EU area and yesterday’ final PMI numbers are indicating that the weakening in the manufacturing sector isn’t country specific, but rather the weakening is across countries. The decline in Germany’s manufacturing sector is less than expected by the financial markets, while the decline in France is higher than expected. The same goes for Spain and Italy. The UK’s PMI index has increased by 0.9 to 48.3 and is more than expected, though 48.3 still indicates a weaker outlook. The US Manufacturing PMI has increased to 51.1 while the ISM index declines by 1.3 percent to 47.8, the lowest value since 2009. Despite weakening activities in the manufacturing sector for the developed countries, for the developing countries the outlook is still positive. The global PMI value in the manufacturing sector has risen from August to September. Past months’ decline has been due to weaker growth in the global trade. The WTO has updated its global trade forecast
Read more

Summary for the 15th of October

China’s balance of trade shows a fall in exports by 3.2 percent, comparing to a year ago and the imports fall by 8.5 percent, the first fall since May this year. China is the largest contributor to world economic growth, through the weaker imports, China’s economic decline is affecting the rest of the world economy, such as the Euro area. The Euro area’s industrial production for  August has risen by a little more than the markets have expected. The industrial production in the Euro area has been weakening since the start of 2018. Finland is currently holding the council of the EU presidency. At a press conference with the European Council President elect, Charles Michel, the Finnish prime minister, Antti Rinne, says that The EU needs more time to reach a Brexit agreement. Boris Johnson is hoping to seal a Brexit deal before the EU summit on Thursday, so that he will be able to present it to the British Parliament on Saturday for approval, in doing so, he won’t need to postpone B
Read more

Summary for the 21st of October Brexit drama

On Saturday, the British parliament is withholding the final decision of the revised Brexit deal and forcing Boris Johnson to ask the European Council for an extension to the 31 st of January. Instead the parliament has greed on Oliver Letwin’ amendment, which states that there wont be a no deal Brexit until the parliament has agreed on the revised Brexit deal this week. And on Saturday night, Boris Johnson has sent an unsigned letter to the European Council asking for a Brexit delay as well as a personal letter to the Council asking the EU leaders not to delay Brexit. The US stock exchange has closed in negative on Friday after Johnson & Johnson has to recall 33 000 bottles of baby powder in the US after health regulators found trace amounts of asbestos in a bottle purchased online. Boeing has admitted that two of its employers in 2016 misled the FAA about the 737 Max and its technical system. Weaker than expected Chinese economic indicators also contributes to the negative
Read more