AFTER THE TRADE DEAL, CHINA TO REMOVE THE U. S. SWORD OF DAMOCLES — THIS AMERICAN COMPANY WILL BENEFIT $AMAT $QQQ $DJIA $SPY $INTC $KLAC $KLIC $TER $MU
Nobody likes the Sword of Damocles hanging over them — certainly not if you are China, the second-largest economy in the world.
Oil used to be the lifeblood of the economy, but no more. The lifeblood of the modern economy is semiconductors. (Please see “Investors are misplacing threats to the U.S. stock market.”)
The U.S. dominates the semiconductor industry, and therefore China is highly dependent on U.S. companies. During the trade war, President Trump effectively used the U.S.’s position in semiconductors as a Sword of Damocles. It is natural for China to try to get out of this situation.… Please click here or the title below to read more.
January 17, 2020