The S&P 500 fell 0.27% during trading Monday, perhaps confirming that investors have come down from their post-election euphoria. Evidence of division among Republicans on economic issues has disabused the market of its belief that profit-boosting policies would pour from Washington soon after inauguration.
The smart money on Wall Street agrees: The Wall Street Journal reports that big-bank executives have sold close to $100 million worth of stock since the election. If the likes of Morgan Stanley's James Gorman are exiting the market, perhaps you should too.
Chinese bitcoin exchanges agreed to charge a transaction fee 0.20%, ostensibly to cut down on speculation. But the Chinese government is also keen to rein in bitcoin use, as Chinese investors have conducted vast majority of bitcoin trades in recent months. Sound smart: The Chinese have used bitcoin as a means to move money out of the country as China tries to prevent capital from fleeing its slower-growing economy.
The day Donald Trump announced American withdrawal from TPP — drawing criticism from John McCain and others for the geopolitical implications —The Financial Times reported that Prime Minister Theresa May will soon travel to China to discuss trade relations.
Why it matters: Like his counterpart, Donald Trump will also have to come up with a plan to boost exports, rather than just fighting unfair imports.
What we're watching: The heads of Ford, General Motors and Fiat Chrysler will meet President Trump for breakfast. The CEOs hope the meeting will provide clarity on the Trump trade agenda, and news from it will be pertinent to traders and politicos alike.
