G-20 Summit: Three Things Investors Should Know
As the tit for tat between Washington and Beijing continues ... U.S. President Trump and Chinese President Xi are gearing up for the G-20 summit that is set to kick off on June 28 in Japan.
Here's three things investors remember ahead of the two-day summit.
First off, president Trump appears largely optimistic about the talks.
He recently told reporters that he and Xi have a good relationship and believes that the talks have a good chance of finding a solution.
Secondly, without a deal, Trump may follow through with his threat to apply $300 billion worth of new tariffs.
Keep in mind that that would be applied on top of the 25% tariffs on $250 billion worth of tariffs on Chinese products.
China, on the other hand, has set tariffs on $110 billion worth of U.S. goods, and is threatening to proceed with measures that would affect U.S. businesses operating in China.
Lastly, it's important to note that U.S. companies have come forward and expressed their concern about the potential of a new round of tariffs.
According to President Trump, the new round of tariffs would encourage businesses to move their manufacturing out of china, however, the companies disagree with this notion and say that the tariffs will force the companies to raise the prices of their goods.
Some of the companies arguing against tariffs on consumer tech goods include: Best Buy , iRobot , and Roku .
Previously, there's also been pushback on tariffs from companies such as Nike , Under Armour and Adidas.
So bottom line - how will 2019's G-20 summit play out?
Investors will have to wait and see .
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