AND REMEMBER THE SPRATLEYS!! The U.S.N. has been doing laps around those puppies for the past 4-6 months (THANK GOD) to "show the flag" -- I think the official mission is "Maintain Freedom Of The Seas"... I had been worried about this for 3-4 years, and wondering why no one was making any noise -- -- big ol' presence in Africa aimed at Rare Earths -- building a 'Chinese Navy' for the first time in recorded history -- WHY?!?!? -- Oil lines and trading lines VITAL to their national posture as a world manufacturer -- how can that not be market-affecting and how can that not be *vital* news??? But nobody was taking it up. In the last year-18 months, that has changed, SOMEWHAT. But if the goepolitics of the South China Sea (which, to be sure, is IMPORTANT to China, but not so close as the name South CHINA Sea implies) gets screwy, world markets will feel the hurt for an extended period. And yet, too, saying (with a straight face) that China's interests are improper or misplaced??? That's hard. Remember the Monroe Doctrine? So, trading-wise, what's to be done? I've said bye-bye to BABA, I can tell you. And BIDU. And I keep my ear tuned to this whole business. I try not to put too much on the down-side of the market, in case any of this burbles up too fast. Here's to Monday, y'all, and cool heads.
What concessions will they gain? Russia is one of the most powerful nuclear forces in the world. What have they gained from it? I thought I heard that they recently got a new batch of sanctions. Even if NK had powerful nukes, they would not be able to get anything. Why not? Because of mutually assured destruction. They know that if they attack another country, they are finished. Even if they managed to completely destroy the entire US, they would still have to worry about the nuclear subs somewhere in the oceans. Also, I'm not sure that the market really fell mostly on NK threat. There are a number of retailers reporting next week and earnings expectations for them are likely low. We're also moving into one of the more historically volatile times of year.
And didn't they seize two USN drones last year? Am I remembering that right? EEeeewwwwww-wwwwww! We's best all be paying attention! I mean, they *slowed*down* in GDP at one point, and dropped the world markets in a *big* way. If they got into a shooting incident with the USN? HOW much trade goes through there? Both FROM China and TO. (And hence, they're desire to revive the overland Silk Road. Smart.
Question that I have, I suppose getting a bit off topic, is what country has the most technologically advanced military? I would include cyber-warfare capabilities in that category as well.