Jim Cramer Says Investors Can't Overlook Hong Kong
Back on July 1, Beijing introduced a new law--a treason and sedition law--that aims to limit the autonomy of Hong Kong and banned literature critical of the Chinese Communist Party.
President Donald Trump, on Tuesday, said that he had signed legislation to impose sanctions on China following its interference with Hong Kong's autonomy.
The law is called the Hong Kong Autonomy Act and it places mandatory sanctions on Chinese officials and companies that backed Beijing's imposition of the law.
"China's action to undermine Hong Kong's freedoms constitutes "an unusual and extraordinary threat" to the U.S. national security, foreign policy and economy, Trump said. "I hereby declare a national emergency with respect to that threat," wrote Real Money's Alex Frew McMillan in his column. "The United States has not specified which officials it will target with its Hong Kong law. But Hong Kong Chief Executive Carrie Lam can cancel any U.S. vacation plans. American authorities can seize or freeze any U.S. assets linked to anyone involved in the arrest or imprisonment of individuals under the new national security law, or the curtailment of rights like freedom of speech."
So, what does Jim Cramer think?
Watch the video above for his take on how this could impact companies.