Market Commentary

Chinese Stocks – China Telecom Corp

China Telecom Corp

The FCC, in a vote of 4 to 0, banned China Telecom Corp. This is a large firm in China but does not have much reach in the U.S. However, the FCC already banned Huawei and four other firms from China.

This new ban is despite the Biden administration attempting to smooth over tension between the U.S and China.

The issue for investors is that the FCC looks to make more of these kinds of actions. This should put downward pressure on U.S.-listed Chinese companies. Investors need to be cautious.