The Stable Genius Report

• A trade deal with China is complete, subject to final approval.
• China will supply magnets and necessary rare earths upfront.
• The US will continue to allow Chinese students into its colleges and universities.
• The US will receive 55% tariffs.
• China will receive 10% tariffs.
• The relationship between the US and China is excellent.

The announcement of a completed trade deal with China, including specific tariff percentages and critical resource (rare earths) supply agreements, directly impacts corporate earnings, supply chains, and market sentiment for a wide range of companies listed on the S&P 500, particularly those with significant exposure to China trade or reliant on rare earths.

The post announces a completed trade deal, indicating a de-escalation of trade tensions and fostering a more cooperative relationship, with no mention of conflict, ultimatums, or military references.

• Commodities: Oil (WTI) prices would likely see upward pressure due to increased global economic confidence and demand expectations. Gold (XAU) would likely face downward pressure as its safe-haven appeal diminishes with reduced geopolitical uncertainty.
• Currencies (Forex): The U.S. Dollar Index (DXY) might see a slight strengthening due to improved economic outlook for the US, but its safe-haven demand would decrease. The dollar would be less treated as a safe-haven asset as global risk perception diminishes.
• Global Equities: European (e.g., STOXX 600) and Asian (e.g., Nikkei) markets would likely react positively, experiencing a boost in sentiment due to reduced trade tensions and an improved global economic outlook, particularly for export-oriented economies.
• Bonds (Fixed Income): A 'flight to safety' into U.S. Treasuries would be less likely. This would generally lead to an increase in Treasury yields (as bond prices fall) as investors shift capital from safe-haven assets to riskier, higher-returning equities and other growth-oriented investments.