Richard Yu, CEO of Huawei's consumer business, said Huawei's own operating system for smartphones and laptops could be ready for use in China by fall this year.Technologyread more
After holding parliamentary elections over seven phases, India started counting the votes on Thursday — and Prime Minister Narendra Modi's Bharatiya Janata Party-led coalition...Electionsread more
Among the many ways Trump has shattered White House norms, his impulsive public communications rank among the most consequential. By inspiring investors or spooking them, his...Politicsread more
A federal judge in New York City on Wednesday said Deutsche Bank and Capital One can turn over financial documents related to President Donald Trump and his businesses in...Politicsread more
CNEX, backed by Microsoft and Dell, filed new allegations in a Texas suit accusing China's Huawei and an executive of trade secrets theft.Technologyread more
With Amazon and Walmart facing regulatory hurdles in India, Reliance's Mukesh Ambani isTechnologyread more
Japan's Panasonic said on Thursday it has stopped shipments of certain components to Huawei Technologies to comply with U.S. restrictions on the Chinese company.Technologyread more
Treasury Secretary Steven Mnuchin told CNBC on Wednesday that a trip to Beijing to resume trade negotiations has not been scheduled yet, reducing hopes of a speedy resolution...Asia Marketsread more
Research analyst Adam Jonas, a long-time Tesla bull, said it's extremely unlikely that big tech firms like Apple or Amazon would buy it.Technologyread more
The disclosures come as a federal judge ruled Wednesday that two other banks — Deutsche Bank and Capital One — can give financial documents to Congress, NBC News reports.Politicsread more
Shares of L Brands, the owner of Victoria's Secret and Bath & Body Works, rose nearly 11% in aftermarket trading Wednesday after the company reported it beat revenue and...Retailread more
There's a perfectly reasonable explanation why the market isn't tanking on President Donald Trump's trade war rhetoric – but that could change, said Wall Street veteran Jim Paulsen.
For one, investors are getting used to the trade headlines, Paulsen said on "Power Lunch. "
However, the big thing is the U.S. economy right now.
"As long as the economic data stays good, as good as it's been, the Teflon around President Trump's trade war, the Teflon around [Federal Reserve Chair Jerome] Powell's tightening, is going to remain in place. The market is going to feel impervious, " the chief investment strategist at The Leuthold Group said.
If those "fantastic fundamentals" slow down, which Paulsen said he thinks will happen, then the "Teflon comes off" and the markets might start to struggle.
"There's no way the president can continue a trade war if the U.S. growth slows back into the 2s somewhere. I think he'd have to stop," he said.
Gross domestic product growth in the second quarter of this year increased at a 4.2 percent annualized rate, according to the Commerce Department's estimate.
Paulsen has been warning that stock market returns will be weak for the next few years. He said Tuesday that right now valuations are "extraordinarily high."
"You've got the Fed working hard to kill off the recovery, as well as the market, with tightening," he said. "You've got the president working to slow down global growth and Wall Street's depending on global sales to keep those steroid-induced earnings gains we've been experiencing going."
He would take risk off the table and suggests having much greater diversification away from the U.S. He advises raising some cash or buying short-term bonds, looking into a commodity exchange-traded fund and perhaps gold. He also said to buy stocks in more defensive sectors, and stay away from popular technology names.
That strategy "might hold us up if we hit an air pocket" in the market, Paulsen said.
He would become more aggressive if there was a 10 or 15 percent correction, as long as he still thought a recession was a way off.