Again the world scholarships operate in the red. It is the third sequence of strong falls in three days. Capital markets worldwide have been hit. The reading is that the escalation of the trade war structurally transforms trade relations between nations. It is a more fragmented, less globalized, more inflationary world.
It is early to nail how far the movement of falling actions. But one thing is certain: if the trade war continues, the hole will be much lower. Apparently, the American President It is not very concerned about melting price in. On the contrary, he wants to go to the last consequences to reind the. He even confirmed this with his speech: “Sometimes you need to take medicine.”
The problem is even when the American population will tolerate the side effects of the medicine. For now, it is the value of their investments falling (remembering that many medium Americans save buying shares). In a few months, it may be inflation and reduction of economic activity. If this occurs, the side effect of the medication may bring more harm than the disease itself (deindustrialization).