Global markets have recovered significantly in the first week and a half of 19. This is primarily due to improved expectations for US-China trade negotiations. For our portfolio this is complemented by strong gains from Tesla and Cronos.
Initial reactions were triggered by Trump's tuesday tweet:
“Talks with China are going very well"
Transitioning from the short to long term on US - China relations
Over the next decade we will likely see traditional US industries become relatively smaller global players, while emerging markets slowly decrease the gap, including China.
New sustainable competitive advantages in trade
As some manufacturing and assembly activities become smarter, more flexible and automatable, however, industries can rely more on fewer, higher skilled employees - and thus have more local or nearshore production.