Gordon Chang discusses recent tensions between China and the Philippines in the South China Sea, suggesting that Xi Jinping may be positioning China for conflict. He also mentions American officials' increasing engagements with China amidst these tensions, indicating a potentially escalating geopolitical situation that could impact international markets.
Negative
Investors should be cautious about sectors heavily reliant on China, especially in commodities and tech. Continued tensions may lead to volatility in Chinese stocks and could impact global supply chains, particularly in technology and resources.
Positive
Investing in defense-related stocks may yield positive returns as the threat of conflict often boosts military spending and strategic partnerships.
Oct 11, 2024, 11:51 PM
The finance minister said Beijing would sell bonds to supplement spending and help banks but did not detail how much.
Oct 11, 2024, 9:57 PM
Analyst projections for how much fiscal stimulus is needed range from around 2 trillion yuan ($283.1 billion) to more than 10 trillion yuan.
Oct 10, 2024, 7:17 PM
Chinese authorities have been cracking down on businesses from real estate to technology to finance.