Catch up on the top industries and stocks that were impacted, or were predicted to be impacted, by the comments, actions and policies of President Trump and his administration with this weekly recap compiled by The Fly:
1. AUTOS: China's top point person on trade talks, Vice Premier Liu He, informed Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer in a phone call that China will lower the tariff on U.S. auto imports to 15%, down from 40% currently, The Wall Street Journal reported on Tuesday, citing a person familiar with the matter. Reuters than reported on Friday that China's finance ministry officially announced it will suspend additional tariffs on U.S.-built cars and auto parts for three months beginning Jan. 1, 2019. The government will suspend 25% tariffs on 144 U.S. car and auto part items and 5% tariffs on 67 auto items between Jan. 1 and March 31, 2019, the report stated. Publicly traded automakers include Daimler AG (DDAIF), Fiat Chrysler (FCAU), Ford (F), General Motors (GM), Honda (HMC), Nissan (NSANY), Toyota (TM), Volkswagen (VLKAY) and Tesla (TSLA).
2. HUAWEI CFO GRANTED BAIL: Huawei CFO Meng Wanzhou was released earlier this week from custody by a Canadian judge, according to The Financial Times. She must pay for private security guards to accompany her at all times and post C$10M bail, including C$7M in cash and $3M from at least five sureties. She will also wear an ankle bracelet, be subject to a curfew at home between 11pm and 6am, and not travel outside certain areas of the city. In an interview with Reuters, President Donald Trump said he would "certainly intervene if I thought it was necessary" to secure the China trade deal in the arrest of Huawei Technologies executive Meng Wanzhou. According to reports, Huawei accounted for nearly 17% of Lumentum's (LITE) sales in FY17, about 15% of FY17 sales for Oclaro (OCLR) and 11% of FY17 sales for Finisar (FNSR). The company competes in China with ZTE (ZTCOY), Infinera (INFN) and Ciena (CIEN).
3. CANADA GOOSE: Canada Goose (GOOS) became a target of a boycott from Chinese consumers due to the arrest in Canada of Huawei CFO Meng Wanzhou, The Global Times reported. Canada Goose has been expanding its direct-to-consumer sales in China this year and has announced plans to open brick-and-mortar stores in Beijing and Hong Kong.
4. POSTAL SERVICE: The Trump administration has proposed a change which would enable the U.S. Postal Service to capitalize on a "highly valuable" asset by selling mailbox access to companies such as FedEx (FDX) and the United Parcel Service (UPS), the Wall Street Journal said, citing an administration report. The Postal Service has been losing money for years, posting a net loss of $3.9B in the year ended September 30, and President Trump, who has regularly claimed Amazon (AMZN) has paid too little for package shipping from the service, commissioned the report in April, the publication noted.
5. SOYBEAN PURCHASE: Two U.S. traders said that China made its first major U.S. soybean buys in over six months on Wednesday, according to Reuters. The move marks the first purchase of U.S. soybeans by China since U.S. President Donald Trump and China's Xi Jinping reached a trade war truce earlier this month, the publication noted.
"Week in Review" is The Fly's weekly recap of its recurring series of "Trump Effect" exclusive stories.