Dramatic tariffs have announced President Trump, Wednesday and will not apply higher costs about most media and entertainment companies. However, knocking effects – ie, withdrawal of the US consumer expenditures and advertising budgets, the analysts would open the profit of Hollywood.
The fears on the trigger triggers of the new Trump tariffs were reflected on Thursday by selling an extensive exchange.
Trump’s “mutual” tariffs “do not directly harm media and entertainment companies” Math, Morningstar, Matthew and Rock, which covers a large part of the sector, so it trusts consumer expenditures, so it can hinder the work of the results of the tariffs. weakness. ”
Companies hit by higher tariffs are not going to win these costs – more consumers can be said higher prices. And among the consumers, “one of the first places where they intend to spend less is media and entertainment,” he said.
The economic crisis will also result in advertising expenses, banaches and name dollars in the lower “Majority of the Media and Entertainment Industry”. “One or two fist” for Hollywood players, which are drops in consumer and advertising spending. In such an environment, the band said, “The imperatives are simple,” he said. His recommendation: “Do not call again according to the quality of content and consumer practice,” also be “very thoughtful” at the same time and “very thoughtful” on areas that work more efficiently.
“We are the companies that we see or reduce our research, do not cut marketing in a decline,” said Banagh.
There may be other ripple effects. European countries said the economic impact of tariffs and the influence of new US new approaches to international conflicts, “American films and media can change among the important European community.” “It is too early to say that the long-term effects of this feeling can be, but it will be important to follow public opinion information to better understand what happens in stock for the future of Hollywood.”
The consumer confidence in the TRUP’s “Freedom Day” tariff was already on skides. The Consumer Confidence Index of the Conference Board decreased by 7.2 points in March, the fourth month decreased. Trump’s announcement on tariffs “The markets on the markets in which the consumer could be reflected in the consumer,” Switek said.
The largest market and entertainment resources in which the largest market is wider are more than 9.3% of the market (9.3% on Thursday), Warner Bros. (-13.3%), live nation entertainment (-6.4%) and rock (-15.6%). During the day, 4.84% decreased and NASDAQ came a significant decline in indices like S & P 500, which decreases 5.97%.
Disney’s Theme Parks and experiments generate a lot of earning and “tourism can be recognized and can participate in Disney’s parks,” Morningstar wrote. In addition, “Disney is at the risk of less international tourism in the United States, especially due to cooled foreign relations, especially from Canada.” He said that the living nation has similar exposures, because the attendance of the concert is a luxury that consumers can take back if necessary. ” But even if the Disney sees his job in a recession cool, his “streaming business is the weakness of the potential (theme parks),” he said.
As for the opening of the WBD shares, the dolin, the debt burden, “Many reserves of high-level companies are weak, perhaps the loan is tightening.”
Among the shares of M & E, Roku, China, Southeast Asia, Mexico and Brazil trusts international production. However, its devices are a leader who lost the business – all the earnings, due to filling, “direct tariffs with tariffs” are created from advertising and income exchange agreements. This will damage the rock’s work, if the rock’s advertising spending is declining, “Thus the stock does not look attractive.”
Consumer electronics companies will be directly affected by Trump’s penalty tariffs in China and other Asian countries. The Consumer Technology Association, said that the trade group that supports 18 million US businesses, a rebuke who confused Trump’s plan.
“President Trump’s global and mutual tariffs will manage inflation, killing jobs on the main avenue, and the US economy is mass tax increases over Americans that can cause a recession for the US economy,” he said. “These tariffs will raise consumption prices and force our trade partners to take revenge. Because of these tariffs, Americans will be poor.”
Shapiro, “This” will not be a golden period – but did not return to the global economic disaster of the 1930s, the return of the global economic disaster, did not return to Smoot-Hundu tariffs of the 1930s.
