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Apple sales should pick up when US-China strike trade deal: Trump adviser

Hassett said Asian economies including that of China have been slowing quite a bit since last spring and that China is 'feeling the blow' of US tariffs

Reuters  |  Washington 

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A sharp drop in Chinese economic growth will hit the profits of U.S. firms but sales by and other American should recover once Washington strikes a trade deal with Beijing, a senior adviser said on Thursday.

"If we have a successful negotiation with China, then Apple's sales and everybody else's sales will recover," Chairman of the Council of Economic Advisers

said in an interview with CNN.

Hassett said Asian economies including that of have been slowing quite a bit since last spring and that is "feeling the blow" of U.S. tariffs.

"That is having an impact on earnings and it's not going to be just Apple," Hassett said. "I think there are a heck of a lot of U.S. that have a lot of sales in that are basically going to be watching their earnings be downgraded next year until you know we get a deal with China."

Apple's warning on Wednesday about weak demand in the holiday quarter was a gloomy omen for Wall Street bulls hoping for an early gift in 2019 following December's steep selloff.

Factory activity weakened across much of and in December as the U.S.-China trade war and a slowdown in demand hit production in many economies, offering little reason for optimism as the new year begins.

First Published: Thu, January 03 2019. 22:40 IST
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