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Trump, at war with Chinese app companies

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Miguel A. Rodriguez
Miguel A. Rodriguez
14 September 2020
President Donald Trump imposed bans on U.S. transactions with China's ByteDance, owner of TikTok, and Tencent, operator of WeChat and Asia's second-biggest company by market capitalization.

The U.S President called TikTok and WeChat "significant threats to American citizens" before announcing the ban, which will go into effect in 45 days. Both apps had previously come under fire from U.S lawmakers over security concerns surrounding data collection.

Trump issued the order on Thursday under the International Emergency Economic Powers Act, a law that grants the power to prohibit U.S. firms or citizens from conducting financial transactions with sanctioned companies. 

Tencent is China's second-biggest company after Alibaba. Following the ban, its shares dropped by almost 10% in Hong Kong. The Asian markets fell as well, with HongKong45 falling 2% and Japan225 shedding 0,6%.

Source: investing.com

This information/research prepared by Miguel A. Rodriguez does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views and consequently any person acting on it does so entirely at their own risk.The research provided does not constitute the views of KW Investments Ltd nor is it an invitation to invest with KW Investments Ltd. The research analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report.The research analyst in not employed by KW Investments Ltd. You are encouraged to seek advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit that conforms to your specific investment objectives, financial situation, or particular financial needs before making a commitment to invest. The laws of the Republic of Seychelles shall govern any claim relating to or arising from the contents of the information/ research provided. 

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Miguel A. Rodriguez
Miguel A. Rodriguez
Financial Writer

Miguel worked for major financial institutions such as Banco Santander, and Banco Central-Hispano. He is a published author of currency trading books.