ALIBABA STOCK BUY NOW RICH TOMORROW
Everyone in the world should own some BABA. Alibaba is at the Nadir of its xenophobic fortunes. Being Bashed by the populists on both sides of the single sided protectionist aisle for being successful. It is also being stupidly bashed within China by moronic hardliners in the Government. Both lunatic fringes will fail.
The best lesson China is presently learning is that acting like Trump only gets your teeth knocked in.
China has engaged in a Tariff Trade war with Australia. And while the Prime Minister of Australia is a dumb prize for sure, Australia free trade has allowed it to mitigate losses from China’s Tariff warfare. It once again proves what is known as a Universal Truth among economists that Trade Tariffs only hurt the nation that uses them.
That’s the lesson Tariff Man Trump couldn’t get through his thick skull. It is the same lesson that has made China look really stupid. Tariff blowhards LOSE. That’s the take home message. Perhaps Biden and his clowns will pay attention to Australia.
China makes mistakes but usually doesn’t repeat them.
But something inside China has changed. They have done nothing in the last six months but make stupid blunders. Their attack on ANT was the first. This was followed by their Crackdown on so-called anti-trust conduct. ]
Then you had the enormous 2.3 Billion dollar fine against Alibaba. This was a repeat of the disastrous QUALCOMM fine years ago. I am shocked they were so stupid they did not recall the damage the Qualcomm fine Caused to China’s semiconductor sector. China has never recovered from it.
As with Trump some unschooled Blowhard regulator wanted to play bully to a world that abhors the bully. The bully is always the last to know.
China’s Trump styled trade war with Australia achieved Trumpian result. China got beat by Australia. And in a larger sense, this may embolden the world to seek free trade to reduce the influence of the Trump styled blowhard.
The worst part about this was it demonstrated China USING HEGEMONY when Xi had just vowed that Hegemony would never be part of China’s economic or trade policies. Hegemony is Trump’s go to strategy in all things. He even did it with Stormy Daniels. IT NEVER WORKS!
Because of China’s stupid Trade War with Australia, they demonstrated the danger of any nation being trade dependent on China trade. WHAT A STUPID MESSAGE FOR CHINA to send to the world. That was the Trump Message that was so deadly to the US economy. The USA can never be trusted thanks to Trump. And now China joins the same stupid Hegemony Club.
Nobody else is talking about this but this is the biggest blunder in the History of Modern China. China should admit they were wrong and would never do such a stupid thing again. But China is identical to Trump and never admits mistakes. This is going to cost you China.
As for attacking BABA to get to slippery Jack Ma. That is a failure that keeps on punishing China.
The message of arbitrary and capricious fines with no judicial redress aims exactly at the weakness of this strategy. What multinational wants to be moving to China with that nut regulator on the lose?
Think about it this way. Europeans are lunatics when it comes to suing Google, Apple and Amazon. But the courts have overturned most all of it. Crazy behavior needs Just Courts to mitigate big Government overreach. Do you honestly think Elizabeth Warren is remotely capable of acting in a reasonable way? She’s a screech Owl, a vicious controller. Imagine her Executive Orders. The first Native American Hitler.
The more China asserts control, the worse it gets for them. They need to focus on domestic consumerism.
Recent crackdowns on various Apps in China is not sitting will with the public. A lot of these Apps advertise new products and fire up new fashion trends. Taking something away from people doesn’t sit will. Just like Trump and Biden trying to control what stocks an investor can own. Same difference. Treating citizens like three-year-old’s. The Citizens don’t like it.
Notice please that none of these Chinese blunders was a result of US Xenophobia.
All of these blunders were wrought from pure Chinese stupidity. Someone inside China is trying to go hardliner. My view is that this has a lot of do with Taiwan and US Military bullyism. Some in China think the moment to move on Taiwan is now. The US policy is confused and China has massive military power in the South China Sea. Many think Biden will roll over. Personally I don’t think the US threat is credible.
Many Chinese hardliners view the USA chip shortage as a once in a lifetime opportunity to strike. The US would have virtually no options at all other than capitulate.
With Xi, the Taiwan plan appears rudderless. Hardliners are losing patience. Biden needs to be very careful indeed at this point. The more Biden talks his Xenophobia, the less China has to lose by being aggressive.
Biden’s Make America Competitive is a dead end. The stats on this are incredible. In a VOX poll, it found that most Democrats bought into the government sponsored technology. The Anti-Chinese message appealed to Democrats.
The Anti-Chinese message did not sway Republicans. Republicans were four times more likely to reject spending Government money to guide technological advancement. They said technology should be left to the private sector.
The Schumer bill had 600 Amendments so it is nothing but a silly crony grab bag. Some Republicans bought in, but most rejected this lifeless Pork-O-Rama.
I give China more slack than I give Biden in terms of Capitalism. China is new to Capitalism and Biden who hails from the Corporation State Delaware, should know better but doesn’t.
China will learn from this Australian screwup that when it comes to trade, never act like Trump or you lose.
Biden in my eyes is incapable of learning. He is a career politician that stumblebums his way through life. His cabinet is intellectual stunted. I see no philosophical intelligence whatsoever. In trying to appease a populist message he will surely fail.
Alibaba on the other hand hits the capitalist ball out of the park.
They have a streamlined business, massive cloud presence and are reaching the natural born Chinese capitalist running. This capitalist magic is spreading throughout all of ASIA, the biggest markets in the world.
Remember with Trump and Biden’s Tariffs and blocking US technology, they are blocking America from the largest fastest growing markets in the world and the future. Think about it who wants to be beaten with the Hegemony club by being dependent on Android which Trump tried to ban? In trade and business, do the Opposite of whatever Trump does. Nobody can ever trust the US Government. And nobody in the world would trust Trump or Biden. But those are the dumb politicians.
American entrepreneurs are a handy tech savvy lot and are finding Alibaba to be the best way to reach global markets for products and services. These are not Xenophobes but lovers of global technology and ready to run with the ball.
While the Xenophobes are vocal, they have no real power other than bellyaching. Chuck Schumer to me is as repulsive as it gets. I don’t think Schumer has a single working neuron. Biden is not far behind. But that is not going to stop Chinese Flying Cars.
For every bellyache from Schumer or Biden or Trump, “We have to stop China!” Out rolls new marvels like the flying cars at the Shanghai Auto Show. What do you want to listen to, Schumer or or learn about the Flying Cars?
That is a nutshell is why Alibaba will thrive in spite of the Xenophobia and the blunders China is now repeating. Nobody is looking at DJI drone or flying cars from Xpeng thinking… That is the Chinese Government funding this stuff. NONSENSE. These are the entrapreaures in China. Little companies and start ups, inventive people.
It is easier in China to start a business than the USA. Apple would never be allowed to build computers in a residential garage in America these days. A kid can’t even have a lemonade stand without some Government idiot shutting them down and fining the parents.
You can’t build a single product in the USA that California doesn’t claim causes Cancer. Yet in spite of all this Government Oversite, US cancer rates have not fallen.
Capitalism is the UNSEEN HAND not Biden’s liver spotted shaking hands.
Alibaba is destined to be the largest company in the largest markets on earth. Imagine a company 10x larger than Amazon. That’s where Alibaba is headed.
Xenophobia and Trade Tariffs are for the pea brains. Adam Smith would not give these two frauds the time of day. Nitwit low tech boomers that fantasize about a War with China have lost their minds. They couldn’t defeat the barefooted Army of North Vietnam and they want to take on China? How utterly mindless.
There are several big trends in the world and nothing can stop them:
- Global Trade.
- People want a higher standard of living
- Nobody likes a bully
- Nobody wants to be dominate by either the USA or China.
- Trade and monetary policy are moving to be apolitical.
Any country on the wrong side of any of the 5 will be punished in the marketplace. China just got punished by Australia. The USA got punished by Trump and now Biden.
Don’t mind the short term perturbations of BABA stock.
It will give you time to mortgage you house and buy more shares. Much of the activity is hedge funds manipulating the options of BABA. 90% of US markets are controlled by institutional investors. China it is 90% are individual investors. As China liberalized trading policies in Hong Kong, more of the world population will buy Alibaba stock.
Hong Kong is the fastest growing stock exchange in the world. The US exchanges want to be Xenophobic, so be it. At last check foreign investment in the USA was nil. And there has been a steady decline of foreigners buying US Treasuries since 2001. The US is cutting its own throat.
The moment the ANT IPO is announced, that will be the biggest short rally in history. Alibaba will rise 25%. Question is whether it will leak out of China in advance. Chinese should announce it one day before Options expirations to keep the hedge funds up at night.
Expect China to be more quiescent China. MACA will fail just as MAGA fell flat on its face.
In Capitalism, the best policy is to not regulate it.