Apple's shock warning bolsters one of Trump's biggest arguments for the US-China trade war

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• Apple unexpectedly lowered its guidance for the holiday quarter on Wednesday.
• The company pinned a significant portion of the blame on China's economic slowdown.
• Apple CEO Tim Cook in turn blamed the slowdown partly on President Donald Trump's trade war with China.
• US economic data remains strong in comparison.
• The dichotomy bolsters Trump's argument that the trade war is hurting the Chinese economy more than the American economy, and that the US can hold out until Beijing gives in on a trade deal.

Apple's shock announcement that the holiday quarter turned out worse than expected not only provided investors a warning about uglier-than-expected earnings for the company but also boosts one of President Donald Trump's key arguments in favor of the trade war with China.

Despite reports of pain for American businesses and workers, Trump has long said that the trade war is taking a much larger toll on China than the US. Given the relative strength of the American economy, Trump argues, the US can afford to wait for the economic pain to force China into concessions.

See the rest of the story at Business Insider

NOW WATCH: MSNBC host Chris Hayes thinks President Trump's stance on China is 'not at all crazy'

See Also:

• One of Trump's top economic advisers thinks the US-China trade war will cause a 'heck of a lot of US companies' to make nasty announcements like Apple's
• Tim Cook blames Trump's trade war with China as a big factor in Apple's slowdown
• Trump says the market's recent sell-off was just a 'little glitch' after stocks post the worst December since the Great Depression

SEE ALSO: Trump says the Treasury is taking in 'MANY billions of dollars' from the tariffs on China. The only problem is that US companies are paying the price.

from Business Insider https://read.bi/2SCW5JC