Implication & Ramification of Trump’s Win on Malaysia if TPP is scraped & FDI reversed (Calvin Tan)
Author: calvintaneng | Publish date: Thu, 10 Nov 2016, 02:31 AM
We watched with abated breath the dramatic win of President Trump as the US 45th President!
By now we know It Was An Election of the American People (70% who voted are Whites! Many of them have been bypassed in the promised illusive Great American Dream. The Democrats have only taken care of those in the Western Belt of Silicon Valley, Hollywood & the Gambling Crowd of Las Vegas. And in the Northeast the Wall Street Gang who enjoyed FREE MONEY by endless QE)
While all the media went Gaga over Hilary the hardworking neglected Whites of the American heartland are marginalized. So were those in the Bible Belt States. So Trump went after these neglected groups. And with the blessing of the Bible Belt Churches One State After Another Capitulated to Trump!!
From his beginning Trump has only One Message: Bring Back Vital Jobs Lost to China! Bring Back American Factories That Have Moved to Mexico, China and even Singapore. Bring Back the Trillions of US Dollars earned oversea. And kept abroad to escape high taxes in the USA. Stop unfair imports subsidized by weak manipulated currency.
All these will change with the changing of a new President called Trump! His message hit home crystal clear in no uncertain sound. And the American Heartland stood up and voted him with One Mind & One Voice. It was a resounding Victory for Republicans – Sweeping Trump into power & went on to take both the House & the Senate. It was a complete victory!
Now what will happen? Or what is going to happen?
Calvin Tan Research found these answers
1) America is raising a Barrier from the Onslaught of Globalization! From now America’s doors are shut to unfair competition – “real or perceived”. Trump has promised to raise tarif against Chinese imports. He has also promised to scrap TPP – this will hit both Vietnam & Malaysia.
2) In coming days the electrical & electronic exporting companies from Malaysia to the US will be hit. How? Will US raise tariff on Malaysian Imports like they promised to do to China?
3) Although Obama has been to Maslaysia to spearhead the setup of TPP – urged on by AmCham (American Chambers of Commerce). This is to contain the Expansion of China’s power in the Far East. Trump has no interest to contain China. Uppermost in his mind is the well being of US Workers first & foremost.
So TPP is now a foregone conclusion. It’s off & over now. What then? There will be an incentive for US Companies to uproot & relocate back to American soil. To provide necessary jobs that can make America a great nation once more.
For this reason Trump will also reduce tax to 10% from 35% for all Funds repatriated back to the USA kept abroad due to high taxes. This will be in the Trillions! And these Funds will go into all necessary infrarstructure works like new roads, bridges that are crumbling that need replacing, highways, Mrt, airport, seaport & there will be lots of jobs for millions of Americans.
4) Ha! Trump has a brilliant idea for USA. What about its impact on China, Malaysia & others?
Prepare to accept slower growth. Exports will cascade downward. So all export stocks will be hit hard. Any exceptions?
Yes, of course. Rubber gloves, palm oil & other manufactures that USA cannot produce effectively will still be exported.
5) What other impacts?
As export to USA decelerates will China take up the slack? You better don’t bank on it as China itself will face 30% to 40% trade tariff! So there is no escape. Now is the time to shift your strategy with the shifting of a new paradigm framework.
MALAYSIA WILL HAVE TO DO MORE PUMP PRIMING. IF EXTERNAL DEMAND SLACKENS GOVT SHOULD STEP IN TO STIMULATE INTERNAL DEMAND.
SO MALAYSIA SHOULD ACCELERATE MORE INFRAR WORKS, MORE INTERNAL EXPANSION THAT PROVIDE JOBS AND GROWTH.
THAT’S WHY CALVIN HAS PREPARED WELL AHEAD TO
1) BUY INTO GLC LINKED STOCKS.
2) UTILITIES THAT ARE RECESSION PROOF
3) CYCLICAL PALM OIL DUE TO THE EL NINO PHENOMENON.
I HAVE COMPILED THESE 10 STOCKS (AS I HAVE AVOIDED ALL EXPORT STOCKS)
1) MRCB (TOD FOR BANDAR MALAYSIA)
2) POS (ECOMMERCE IS A SUN RISE INDUSTRY)
3) DRB (OWNS 2 COMPANIES WITH DEFENSIVE QUALITIES: POS (POS has survived for 200 years. AND PUSPAKOM)
4) BPURI (INSIDERS BOUGHT AT 50 CTS)
5) PBA (WATER IS A BASIC NECESSITY)
6) YTLPOWER (GOOD DIVIDEND)
7) CBIP (WILL BENEFIT FROM CPO PRICE REBOUND)
9) BPLANT (HIGH DIVIDEND)
10) DUTALAND (Only Rm2 million debt. NTA over Rm900 Million. Candidate for privatisation.
PLEASE STAY SAFE: REMEMBER: RETURN OF CAPITAL IS MORE IMPORTANT THAT RETURN ON CAPITAL
MAY ALL INVEST SAFELY THROUGH ALL THE VISSICITUDES OF LIFE