25000 proves to be too much for DOW? It opened higher and hit as high as 24995.24. But stocks seem to response negatively to Treasurer Steve Mnuchin’s backing on steel and aluminum tariffs. Mnuchin said in House:
- Regarding Trump’s tariffs – “I am supportive of them and I am supportive of the mechanisms that the president has announced,”
- “To the extent that we’re successful in renegotiating Nafta, those tariffs won’t apply to Mexico and Canada.” (same position as Trump)
- “We’re not looking to get into trade wars.”
- “We’re looking to make sure that U.S. companies can compete fairly around the world.”
- He brought up China too. (?!) “President Trump has been very clear: We want to make sure U.S. companies have the same ability to do business in China as Chinese companies have here.”
- And, “our priority at the moment is to renegotiate NAFTA and to focus on our trade relationships with China and have fair and balanced trade with China.”
Facts: China is the 11th imports of steel to US in 2017. India ranked 10 with contribution merely 2%. Canada was top at 16%, Mexico 4th at 9%.
