Week In Review: How Trump's Policies Moved Stocks - June 15 2019

Broadcom calls out trade fight for guidance cut, Trump voices concerns about defense mega-merger.

Catch up on the top industries and stocks that were impacted, or were predicted to be impacted, by the comments, actions and policies of President Donald Trump and his administration with this weekly recap compiled by The Fly:

1. BROADCOM: Shares of Broadcom (AVGO) sank on Friday after the semiconductor supplier lowered its revenue for the fiscal year, saying it sees a "broad-based slowdown" in the demand environment. Along with the earnings report, CEO Hock Tan said the company currently sees "a broad-based slowdown in the demand environment, which we believe is driven by continued geopolitical uncertainties, as well as the effects of export restrictions on one of our largest customers." As a result, Tan said Broadcom's customers are "actively reducing their inventory levels," and that the company is taking a "conservative stance" for the remainder of the year.

2. APPLE: President Trump told reporters on Thursday that Apple (AAPL) CEO Tim Cook "just left our office" during a working lunch with a bipartisan group of state governors, according to Bloomberg. Earlier this week, Debby Wu of Bloomberg reported that if the U.S.-China trade war gets carried away, Apple's primary manufacturing partner has enough capacity to make all iPhones headed for the U.S. outside of China, according to a senior executive at Hon Hai Precision (HNHPF). Hon Hai Precision currently makes most of the smartphones in the Chinese mainland, but is ready to support Apple if it needs to adjust production due to bleaker U.S.-China relations. President Donald Trump has threatened China with new tariffs on about $300B worth of goods, which would exact a punishing tax on Apple's most profitable product in its largest international market.

3. U.S.-CHINA TRADE TALKS: Former top trade advisor to President Donald Trump, Clete Willems, said that a trade deal between the U.S. and China is not likely at the upcoming G-20 meeting, according to CNBC's Kevin Breuninger. "There won't be a deal at the G-20," Clete Willems said in an interview Tuesday with Kayla Tausche at CNBC's Capital Exchange event in Washington.

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Carol W 1 year ago Contributor's comment

will Trump be the weed whacker? I highly doubt it.