Central Banks: Better To Stimulate The Economy?

EDITOR NOTE: As cynical as this may sound, a politician is someone who’s public actions fundamentally differ from his or her private views and beliefs. There is no “taking a position” without conjuring an enemy, real or perceived. Well, it’s election year. Among the enemies are China, for one; certain American citizens, another; more to come, for sure. But as long as it doesn’t upset international trade, or take us to the brink of a second US civil war, expect some really nasty sentiment aimed at “them” (China and others) and perhaps even at some of “us.” But whatever the outcome...it’s all about stimulating the ECONOMY. And to this, all politicians will tread very carefully. 

Looks like there is no end to US-China tensions with Donald Trump now threatening to ban the Chinese airlines. He was talking about de-listing the Chinese companies too. Is it just plain rhetoric or is there more to it just ahead of the elections?

You hit the nail on the head there. It is all to do with the elections. President Trump needs to have an enemy going into the election. He is intentionally not taking on China on the trade front because he is painfully aware of the massive trade problem in America on account of Covid-19 crisis. So I do not think he is going to tackle them on the economic front on the fear of making things much worse and in turn alluding risk during the presidential election.

I think he is picking other fights; Hong Kong, flight, the listing requirements of foreign companies in American exchanges which we all know was focussed on China. So this is the latest development. He is going to play the safety card. Ultimately ..