US Presidential Election Effects on China Stocks: Harris and Trump Debate
Sunday, 15 September 2024, 23:30
US Presidential Election's Shadow Over Chinese Stocks
The looming US presidential election is adding to a slew of headwinds for Chinese stocks, as both candidates use hardline rhetoric on economic policy towards Beijing.
Debate Highlights Between Harris and Trump
- US vice-president Kamala Harris and former president Donald Trump agreed on little but both favored a tough stance towards the world's second-largest economy.
- Policy discussions include technology restrictions and potential tariff hikes that pose threats to China's economy.
Market Concerns and Future Implications
According to Daiwa Securities Group, geopolitical tensions will continue to haunt Chinese stocks for another four years regardless of the election outcome.
- China's CSI 300 Index recently hit a five-year low.
- If Harris wins, she may maintain existing tariffs from the Biden administration.
- If Trump is elected, significant tariffs could impact imports from China.
The S&P 500 Index has notably performed better, rising 45% since the start of 2021, in stark contrast to the losses experienced by Chinese stocks.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.