After news of US. Stimulus Talks failing came out last week, investors worldwide have been keeping a negative prospect on the outlook of the economy and it's looking their outlook will be further embolden due to Chinese Economic numbers and them not looking decent.
According to Reuters, Global Shares are dipping this Friday due to Investors expressing worry after lackluster Chinese Economic numbers. Shares in the European Market have also been seen to taking a hit, especially Travel Stocks after Britain added more countries to their quarantine list, including France.
Chinese shares rose slightly to 1.5%, data that would imply that domestic trade is still very much struggling, 8 months after the pandemic really began to first strike the country.
When it comes to the $USD, it's headed to yet it's eight consecutive week of loses, which would be it's longest losing streak since June 2010.
A Quick Word On Globalization
As a quick note, this is not in any way an attack on the concept of international trade. If a foreign country can offer a product or service and can offer it to us at a much more quality and cheaper price than domestically, than allowing that trade would benefit us all as far as I'm concerned.
That being said, I do think this pandemic has helped highlighted at least the benefit of having a bit of self sufficiency within a economy. When you have a country like let's say the US heavily dependent on a foreign country for essential supplies and resources, all it takes is for something catastrophic (like a trade war or pandemic) to effect the trade and both countries end up losing as a result.
When the pandemic really started to ravish China and they began their lockdowns there, almost all kinds of international shipping and trade was highly affected, and if you were someone who had a business that was dependent on China (whether it be a small business or a company like Apple who manufactures their Iphones there), you were definitely feeling some economic hurt even before the rest of the country began to see economic hurt when the shutdowns ended up coming over here.
This is just a room for thought that I felt like sharing, and I'm always open to hearing your feedback down below 👇.
A new Quarantine Hustle post should be out either later today or on Monday, so stay tuned!
Articles Cited: https://www.reuters.com/article/us-global-markets-idUSKCN2593AB
https://www.wsj.com/articles/chinas-shipping-nears-a-standstill-amid-coronavirus-disruption-11581699854