The Trade War is escalating. You can feel that coming as investors as you read the news that both Trump and Xi had continuously been playing a game of cat and mouse and it appears there’s no way both could get a mutual agreement that might compromise one another. Last night was a bloodbath as Dow was down more than 600+ points while Nasdaq had fallen by 3%. It’s pretty drastic in my opinion, but we are getting the hang of it with Trump. Up 2% on one night, down 3% the next day, and then up another 2%, and then down another 3%.
Monday is going to be interesting especially for our STI index which is still at 3,110, and are still up by about 4-5% (inclusive of dividend) year to date. Not cool at all given we want a bigger drop like the ones we’ve seen