Mr. Market is only concerned by Central Banks, no clue about Delta variant and geopolitical tensions.
When Powell advocates for transitory inflation, China is closing ports, and the Taliban are taking control of Afghanistan, which is depicted by an internal memo from the US Department of Defense as the “Saudi Arabia of lithium” after US geologists discovered the vast expanse of the country’s mineral wealth, estimated at least 1 trillion dollars.
The same for the Chinese regulatory crackdowns over Chinese Techs and developers, US techs are untouchable by the same waves from the US administration ????
Taïwan is not really considered as important for the market even if the island is “just” the cornerstone of the worldwide semiconductor industry. A few minutes ago, the island’s air force scrambled jets to shadow 11 Chinese aircraft which included fighters, bombers, and surveillance planes.
For your scribe, these moves are just demonstrations, warning the US and Japan to establish military forces on the Taïwanese ground.
If naive investors will be wake up on Friday with announcements from Beijing regarding how will be applied China’s anti-sanctions law to the financial center, Chinese authorities will increase political destabilization over Taiwan, tightening the rope of infrastructure around the Island before absorbing it.
How? Here, just the last example: a US$463 million airport planned between islets of Dasha and Xiaoshan, off Pingtan county, is part of Beijing’s program to integrate infrastructure with Taiwan
