A sharp Fall in Chinese economic growth will Reach on the profits of US Companies but sales by Apple and other American companies Need to Regain once Washington strikes a trade deal with Beijing, a senior White House adviser said on Thursday.
“When we have a successful discussion with China, then Apple’s sales and everyone else’s earnings will recover,” White House Chairman of the Council of Economic Advisers Kevin Hassett said in an interview with CNN.
Hassett said Asian economies including that of China have been slowing a long time since last spring and that China is”feeling the blow” of US tariffs.
“That’s having an impact on earnings and it is not going to be only Apple,” Hassett said. “I presume there are a heck of a good deal of US companies that have a lot of sales in China that are essentially going to be seeing their earnings be next year until you know we receive a deal with China.”
Apple’s warning on Wednesday about weak iPhone demand from the holiday quarter was a gloomy omen for Wall Street bulls hoping for an early present in 2019 following December’s steep selloff.
Factory activity weakened across much of Europe and Asia in December since the US-China trade war and a downturn in demand hit production in many economies, offering little reason for optimism since the new year begins.