Bidens position on Sino US trade will not immediately withdraw the tariff?

 Bidens position on Sino US trade will not immediately withdraw the tariff?

In fact, at the beginning of Bidens victory, the market had certain expectations for Biden, and 5g plate was once sought after by more funds. However, according to this rhythm and expression, we can basically give up the fantasy of Biden in the short term, and his means may be more difficult to deal with than trump. In the trump era, due to the science and technology war and trade war, growth stocks with domestic substitution as the supporting logic performed well. With Bidens election, the technology growth stocks represented by semiconductors have been adjusted. The market expects that the war will be extinguished.

Recently, capital prices continued to decline, and the performance of the NASDAQ index was also stronger than that of the Dow. With Bidens statement, will growth stocks usher in a wave?

According to CNBC today, US President-elect Biden told the New York Times that he would temporarily maintain the first phase trade agreement with China and would not take any immediate action, including the elimination of tariffs. Im not going to take any immediate action, nor will I do with tariffs, Biden said

According to the associated press, in 2019, the United States proposed a preliminary list to impose 100% retaliatory tariffs on $2.4 billion worth of French cheese and red wine. In July this year, the United States announced that it plans to impose a 25% tariff on $1.3 billion worth of French goods, such as handbags and cosmetics, which is smaller than the preliminary list. The U.S. trade representatives office also said that the new tariff measures had been postponed to January 6, 2021, because France had not yet started collecting digital taxes. Therefore, if Biden wants to win over the European Union, he may first have to solve the problem of interests.

After Bidens statement on Sino US trade was published, the RMB depreciated sharply against the US dollar, but then recovered most of the decline. However, the overall trend is still weak.

Biden said he hopes to address abuses, including theft of intellectual property rights, dumping of goods, illegal subsidies to companies, and forcing U.S. companies to transfer technology..

During Bidens campaign, Bidens advisers hinted at a gradual approach to Chinas tariffs. Biden will give priority to domestic issues, such as investment in R & D and U.S. manufacturing, in order to compete with Beijing in terms of strength.

Biden told Friedman that his top priority would be to pass another fiscal stimulus package, which met his expectations of focusing on solving domestic problems for the first time. I want to make sure were going to invest first in the United States and fight like hell, Biden said He said research on energy, biotechnology, advanced materials and artificial intelligence may be areas that need more government investment.

Over the past two years, the trump administration has been putting pressure on China, which has triggered a wave of growth stocks dominated by technology stocks and domestic substitution concept.

So, with the emergence of Bidens position, is there an opportunity for growth stocks? Analysts believe that growth stocks are now in an environmentally friendly state.

Source of this article: Zhong Qiming, editor in charge of securities companies in China_ NF5619