If the war does break out, the money will flee Asia, not to embattled Europe but to the US. Without increasing interest rate, the US will enjoy abundance of capital inflow as a safe haven. The Treasury will drop the Yield and still sell like a breeze. The gold price will shoot through the roof. However, the oil price will be confusing and go both ways because the global production will scale back when the world manufacturing powerhouses in Asia are swallowed by war and chaos. Those companies whose profits and growth hugely depend on Asia will jump the shark. However, the good news is many factories will be relocated to the US, which will greatly improve the employment in the US. Not to mention the US can sell billions of dollars worth of weapons to waring parties in the meantime. It’s a good day to be America by simply watching Asia burn.
- 6 reviews of Would John F. Kennedy Had Taken the Same Course in Vietnam that Lyndon Johnson Did? (rateitall.com)