The U.S. is embroiled in a full-on trade war, but markets continue to notch new highs. For the most part, investors have shrugged off the trade drama. But it’s not because investors don’t care about trade.
The bottom line: The markets view bad news on trade fights as just part of President Trump's bluster and negotiation strategy while good news is seen as actual progress. "Any de-escalation is a victory," says James Liu, founder of Clearnomics, a research firm.