Trump will be good for Asia, but not for the reason you think

by Dramelin 6:00 PM 0 comments

U.S. President Donald Trump`s protectionist rhetoric will be good for Asia, pushing the region`s stock markets to outperform, said Marc Faber, the publisher of the Gloom, Boom & Doom report. Trump also signaled he planned to renegotiate the North American Free Trade Agreement (NAFTA), enacted in 1994, which eliminated most tariffs between Mexico, the U.S. and Canada. The TPP, which was negotiated during President Barack Obama`s term in office, hadn`t yet been voted on or ratified by Congress. "During his campaign, Trump vowed to label China a currency manipulator for the purposes of a competitive trade advantage, even though the country has actually been propping up its currency. In other signs of a protectionist bent, last month, Trump formally pulled the U.S. out of the Trans-Pacific Partnership (TPP), which would have created a 12-country Pacific Rim free-trade bloc.