Financial markets are essentially betting parlors.  Mohamed El Erian is considered to be one of the better, perhaps currently the best/most influential, financial market analysts in the world.   What El Erian outlines is something we have discussed at great length.

“When people realize that at the end of the day, the U.S. will prevail, because [China] is a less open economy, because [the U.S.] is a more dynamic economy, that ultimately you may end up in a situation where the U.S.’ position in global economic terms is better off.”

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The multinationals (corporations and financial entities) don’t like President Trump; nor do they like any politician who expresses economic nationalism – with the exception of Chinese President Xi Jinping, whom they had been using as the fulcrum for their investment betting on the U.S. as following a service-driven economic model.
Trump has crushed that fulcrum.  The economic globe is in a state of flux while it resets to the natural fulcrum with the U.S. as the centerpiece.  Previously we have explained the dynamic of this flux-time as the space between two economic engines.  Only President Trump could pull off this reset… his plans therein were assembled over decades.
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Following a bilateral meeting in Buckinghamshire, England, President Trump and Prime Minister Theresa May hold a joint press conference.

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British leader of Brexit, Nigel Farage, appears on Fox News Morning to discuss the ongoing visit by U.S. President Donald Trump and the issues surrounding a bilateral U.S./U.K. trade deal.

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Earlier today British Prime Minister Theresa May held a bilateral meeting with U.S. President Donald Trump to discuss issues of importance to both nations. Topics included military cooperation, ongoing anti-terrorism efforts and a possible bilateral trade deal.

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President Trump and First Lady Melania Trump participate in the NATO Belgium welcoming ceremony.  Anticipated start time 1:10pm EST
UPDATE: Video Added

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Oh snap.  Brilliant, simply brilliant.  President Trump keeps the cameras rolling during a breakfast with NATO Secretary General Jens Stoltenberg; and absolutely crushes the NATO position on needing money to defend against Russia when NATO -specifically Germany- is funding Russian expansion financially through energy development, and simultaneously asking the U.S. for money to defend against Russia.
Secretary of State Mike Pompeo looks like he is half going to break out laughing, and half saying to himself: oh, it’s on..

Stoltenberg: […] I think that two World Wars and the Cold War taught us that we are stronger together than apart.
Trump: But how can you be together when a country is getting its energy from the person you want protection against or from the group that you want protection?
Stoltenberg: Because we understand that when we stand together, also in dealing with Russia, we are stronger. I think what we have seen is that —
Trump: No, you’re just making Russia richer. You’re not dealing with Russia. You’re making Russia richer.

This is a MUST WATCH:

Transcript – AT BILATERAL BREAKFAST – Chief of Mission Residence – Brussels, Belgium – 9:13 A.M. CEST – PRESIDENT TRUMP: Good morning, everybody. Good morning to the media — the legitimate media and the fake-news media. Good morning to them. A lot of good people here. Surprising.
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Stunningly confrontational remarks today from EU President Donald Tusk as U.S. President Trump and First Lady Melania arrive in Brussels for a NATO summit.
After destroying nationalistic Brexit plans for the U.K. to exit the European Union, the insufferable arrogance of the EU surfaces with pontificating snark.
The EU might feel emboldened right now, but this approach will not end well; believe me.

Brussels – Speaking on the eve of the NATO summit here in Brussels, I would like to address President Trump directly, who for a long time now has been criticising Europe almost daily for, in his view, insufficient contributions to the common defence capabilities, and for living off the US.
Dear President Trump: America does not have, and will not have a better ally than Europe. Today Europeans spend on defence many times more than Russia, and as much as China. And I think you can have no doubt, Mr President, that this is an investment in common American and European defence and security. Which can’t be said with confidence about Russian or Chinese spending.
I would therefore have two remarks here. First of all, dear America, appreciate your allies, after all you don’t have that many. And, dear Europe, spend more on your defence, because everyone respects an ally that is well-prepared and equipped.

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It is more than likely President Trump and Commerce Secretary Wilbur Ross knew this was in the making several months ago.  In hindsight it now appears Germany presented a false proposal to U.S. Ambassador Richard Grenell intentionally to poke him in the eye.
Germany has sealed the fate of their auto-industry with a multi-company agreement to manufacture vehicles in China and share all their intellectual processes therein.

FRANKFURT (Reuters) – German companies signed a series of agreements with Chinese partners at a meeting of Chancellor Angela Merkel and Prime Minister Li Keqiang in Berlin on Monday, according to a document seen by Reuters. Following are details of them:
♦BASF signed a Memorandum of Understanding (MoU) with China’s Guangdong Province to look at building a highly-integrated chemical production site there, BASF said.

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President Donald Trump used twitter today to begin a process. [BACKSTORY HERE] This is another example of using brutal honesty in digestible doses to change the reference points of most international observers.  Few have any real understanding of the dynamic between the U.S. and North Korea vis-a-vis China.
This tweet is serious business.  It is fired directly into the heart of Beijing.  It is the mother of all truth bombs, and it takes away the ability of Chairman Xi to act in sunlight.

“Subtle” like a brick through a window. [Backstory available here.]  President Trump is removing the Panda mask to reveal the authentic nature of Chairman Xi Jinping.  Simultaneously Trump is trying to rescue Kim Jong-un from the clutches of the Red dragon behind the mask.
Watch Steven Mnuchin to see if enhanced treasury sanctions resurface now.
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White House Office of Trade and Manufacturing Policy Director Peter Navarro appeared on Fox Business last night to outline the U.S. position in the ongoing trade reset against communist China.  Almost all of the financial media and economic punditry are intentionally obfuscating the underlying nature of China’s economic model.
China is a communist central government controlled economic system.  Free-market principles do not apply when dealing with China; therefore trade strategies based on ‘free markets’ cannot succeed against the centralized planning of a communist regime.

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