Charles Green here, Senior Market Analyst here at Traders Agency.
Here’s today Market Pulse 360.
Market Pulse 360 for August 16, 2023
Lots of negative economic news coming out of China recently – from it cutting rates in a last ditch effort to stimulate the economy, announcing it will no longer publish youth unemployment rates, to its largest real estate developer facing default.
But there is no cause for concern with regard to China’s lack of transparency or legerdemain. It has been misleading investors for decades. The fact they have not been forthright with their macroeconomic data (or Covid) for decades is a non-surprise.
Because of this, China is non-investable. Their economy has not fully recovered from Covid, and despite government efforts to get the economy back on track, there is over 20% youth employment.
This is the opposite case for the US. Covid is not a factor and is well under control now. The economy is getting stronger, retail sales are improving, inflation is decreasing, unemployment is 3.5%, and business is getting more and more healthy.
We don’t live in China, so what happens there is a knee-jerk reaction, based on China’s lack of growth affecting international companies.
This is more noise than substance. “This, too, shall pass.”
In fact, it’s probably a net-positive, given a weaker Chinese economy will lower inflation in the US even more from cheaper goods from China, less demand for oil and other commodities in China, and better margins for US companies that manufacture goods in China, such as Apple.
What’s most important in the US is to keep innovating and leading the world in technology.
Recommended Strategy
Insider Effect – Earnings season is still going on right now, and the results are proving just how resilient and innovative US businesses are.
And despite the market pullback, earnings season is still prime time to take advantage of stock fluctuations from actual earnings to expectations mismatches.
That’s why later today at 7 p.m. Eastern, Ross Givens is going LIVE to demo his #1 strategy for playing earnings season…
A Bit More About Me
My specialty is understanding financial markets and the drivers that influence longer-term direction. I’ve been an active trader focusing primarily on stocks for over 20 years.
I’ve also:
- Been an adjunct finance professor for nearly 20 years
- Worked as a financial consultant with Merrill Lynch managing millions of dollars
- Earned a Master of Science Degree in International Business and Finance from Georgetown University and a Bachelor in Arts Degree in International Studies from George Mason University.
- Spent 14 years as a Marine (I enlisted at age 17) traveling all around the world
My education, work and life experience gives me a broad view of the world, financial markets, and life in general that informs my trading and investment decisions.
My passion is helping others to take advantage of the best market opportunities to achieve their financial goals.
This gives me the greatest satisfaction, and it’s the reason why I continue to teach in the classroom and outside of it today with every activity in which I engage. I believe that I succeed only if clients succeed.
I am a very unlikely success story. And this is only because I believe that anything is possible with the right knowledge, focus, and winning mentality! When you have that, success is just a matter of time.
Charles Green
Senior Market Analyst, Traders Agency
