Trade wars and the stock market
Monday’s Review-Journal editorial discussed a revamp of the state’s public pension system and it’s 3.8 percent loss for the first two quarters of the fiscal year. It also mentions the inevitable upcoming stock market correction.
Earth to the Review-Journal: The reason PERS ended the year with a loss is because we are in a stock market correction. We have just gone through some of the most volatile weeks in stock market history.
The Dow Jones Industrial Average dropped more than 5,000 points. Apple, which is a bellwether stock, dropped from roughly $233 a share to $133 a share. It was the worst December since the 1930s.
The trade wars and stock market collapse have dramatically increased the likelihood of a U.S. recession. Many European countries are already in recession. China just reported its worst yearly growth since the Great Recession.
The good news is the stock market is attempting to claw its way back from the abyss.
Donald Trump needs to climb out of the sandbox and realize that the world is on the brink of yet another economic calamity, this time brought about by his anti-trade nonsense. This is not my opinion, but rather the opinion of the people who run companies that do business the world over. These tariffs and trade wars need to go — and fast.
