(Reuters) – Investors are gauging how a potential deterioration in President Donald Trump’s health could impact asset prices in coming weeks, as the U.S. leader remains hospitalized after being diagnosed with COVID-19.
So far, markets have been comparatively sanguine: hopes of a breakthrough in talks among U.S. lawmakers on another stimulus package took the edge off a stock market selloff on Friday, with the S&P 500 losing less than 1% and so-called safe-haven assets seeing
Remember the old Road Runner cartoons where Wile E. Coyote runs over a cliff chasing the Road Runner then hangs in midair for a couple of seconds before plummeting? Right now, the tech market reminds me of that cartoon.
Recent tech vendor earnings and other data suggest the pandemic recession’s damage to the US tech market was not that bad and perhaps improving. For example, in August, Salesforce reported a 29% increase in its quarterly revenues ending in July compared with the same quarter a year ago, and Workday announced a 20% increase in revenues over the same period. In September, Oracle reported that its Fusion and NetSuite ERP subscription revenues in the quarter ending August 2020 were 33% and 25% higher, respectively, than a year ago (though total cloud software services and license support revenues only went up 2%, in line with growth rates over the past year). Adobe’s
News last week that China might release a blacklist of U.S. companies sparked speculation about which companies might be on the list, and the impact of such a list on technology and geopolitics.
Beijing’s potential release of the blacklist is widely seen as a retaliatory response to U.S. moves to restrict Chinese companies, including Huawei Technologies Co. and ByteDance Ltd.’s video-sharing app TikTok.
A federal judge Sunday blocked the Trump administration from banning the popular app amid a pending restructuring deal that includes
Huawei, following a series of restrictions including placement on a U.S. trade blacklist, recently has been racing to develop its own operating system in the absence of U.S.-origin technology.
It’s unclear who is on the Chinese blacklist, but observers said it could include businesses that compete directly with Chinese companies. Some believe the list could span beyond technology companies.