Investors are dangerously downplaying coronavirus and trade risks, Wilmington Trust’s Meghan Shue warns
Just as the economy is trying to reopen, the market is facing a new risk: Renewed trade tensions with China.
Wilmington Trust’s Meghan Shue warns the threat is putting the strong rebound off the March 23 low in jeopardy.
“We are definitely worried about U.S.-China tensions escalating. We’ve seen them bubbling up in recent days and weeks,” the firm’s head of investment strategy told CNBC’s “Trading Nation” on Friday. “There are a number of risks that I don’t think are adequately priced into the market that could see a resurgence.”
President Trump has been looking to take action against China in connection the coronavirus. He has been questioning the country’s forthrightness regarding the severity of the outbreak.
On Friday, the President said he’d look to eliminate special treatment toward Hong Kong after China imposed a law that would prohibit political protests.
“There’s not much room on the political …continued .
[Source: CNBC News]