00:00 Speaker A
Clearly, the market is rocking. It’s, uh, rose-colored glasses this summer, but not to rain on anyone’s money-making parade. There are two near-term geopolitical risks to not overlook. One, the clock is ticking on another Trump China tariff extension, and two, the Trump Putin meeting on Friday could have a range of outcomes. So my question is this, is the market prepared to handle a geopolitical shock? Alex, what say you?
00:32 Alex
I think they are. I think things are expensive now, and, you know, we’ll see something happen. We’re probably going to get another extension on that tariff, uh, with China. We’re we’re probably going to see something not terribly helpful come out of Alaska. But the market, I think is primed and ready for it.
01:03 Speaker A
Uh, and as I appreciate what Alex said there, but I’m in the camp that this market has totally forgotten about geopolitical risks. And they’re going into that, uh, Trump Putin meeting on Friday, uh, not expecting much, but maybe they should expect a lot more.
01:29 Speaker B
Yeah, I think that, uh, one of the, there are two key points that I’m looking at when it comes to geopolitical risks. One is oil prices, which Trump wants those oil prices lower. Uh, it’s the fact that in September you’re gonna have the oil caps on Russian oil from the Europeans. So, uh, how is this going to impact the oil market? And is Trump going to use oil at all, or sanctions on oil at all in in some of these negotiations? The second one being for China, rare earth minerals, which are crucially important for the US and, uh, for every part of the industry of the US. So I do think that China will come through at some point, uh, like Alex said, there may be an extension because that is the big important deal.