BlackRock's Fink: U.S. a short-term 'big winner' in China trade war
Larry Fink, chief executive of BlackRock, the world`s largest asset manager, on Thursday said the United States is "a big winner" in the trade war with China "in the short-term," but not necessarily over time.
Fink, speaking at Yahoo Finance`s second annual "All Markets Summit," said the United States is currently the dominant force in the trade war because U.S. companies are benefiting from the strong dollar, driving U.S. stocks up, while equities have fallen elsewhere. In the long term, however, trade tensions will hurt the United States as they are leading more non-American companies to China, Fink said.
Still, Fink said he did not expect China`s renminbi to become a global currency of choice anytime soon, even though U.S. President Donald Trump`s protectionist policies may benefit the country in the long-term.
Fink also said he is worried about U.S. unilateralism. "The world is probably economically less safe."
BlackRock`s $6.3 trillion assets under management make the New York-based firm one of the most influential voices on investing worldwide. Fink was the first speaker at the event, addressing a group that included investors, executives and journalists.
For U.S. companies to be successful in coming years, they must consider their position on social and political issues, said Fink. Millennial consumers and employees want to associate with brands that they believe in, he said. Companies like Nike Inc, which recently launched an ad campaign featuring football player and racial-injustice activist Colin Kaepernick, Fink said, are succeeding on that front.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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