Gutierrez Talks Trade in China
However, the Democratic takeover of both houses of Congress could further increase pressure on the Bush administration to go head to head with China on issues related to the lopsided trade deficit.
The incoming freshman class includes a number of Democrats from states that have seen significant job losses in manufacturing. They might be inclined to deal more harshly with China than their free trade-minded Republican predecessors.
Leading up to the election, politicians on both sides of the aisle were already clamoring for China to revalue its yuan upward, which would make Chinese goods more expensive and in theory help reduce its trade surplus with the U.S.
Earlier this fall, Sen. Charles Schumer, a New York Democrat, and Republican Sen. Lindsey Graham of South Carolina threatened to bring to a vote legislation that would impose a hefty tariff on Chinese exports to the U.S. unless Beijing revalued its currency.Gutierrez sought to distance himself from protectionist sentiments during his comments. "We believe the way to narrow the trade deficit is by increasing our exports, not by limiting China's exports to the U.S.," he said. In the meantime, U.S. companies continue to grapple with the piracy problem that robs them of considerable revenue in China. Illegally copied DVDs are one of the most common signs of China's counterfeit culture.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV