Hey this is tom, and it seems like this might be the end of the whole chinese renaissance on the new york stock exchange and the nasdaq. It seems that the chinese regulators are not really taking a tough stand against chinese companies using the whole offshore structure. I'm going to talk about in a second, but this is a huge deal with some really cataclysmic effects on you if you own any chinese stock, so you better stick around, for this also amd is going through the roof. Currently, almost at 92, i'm going to tell you if i think it's a good price to get in or get out again just my opinion, but i have a whole due diligence about md, which i'll share with you.

Also, microsoft, just repay the note in euros and i'll tell you why i think it's a huge sign about inflation in a second also kathy wood is selling roku. The second biggest holding in the rk fund is gone, not exactly again. The fud is taking over and even though i don't hold any rocket shares, i just want to make sure that you understand that this is really a no news being blown out of proportion, but, more importantly, i think we have some strong signs coming up that the Whole covet trend might be back so covet friendly companies such as peloton, doordash airbnb might be on the rise again because it seems that the terms are ripening and in this video i'll show you why. I think that the covert trend might be back again for a second go around, so in case you missed it the first time or in case you did it and you want to do it again.

This might be your chance to get in early on some covet friendly stocks, because we have some strong evidence that this might be back and for convenience purposes, because i know not. Everybody cares about every single item i'm going to talk about here, there's timestamps below, so you can skip ahead to the parts you actually want to hear about more before we get started as usual. I ask you just of one thing: don't click, nothing, don't smash! Nothing! Don't buy nothing, don't subscribe to. Nothing.

Just give me your full tension. That's the only thing i need and let's just jump straight into it. So, first of all, let's talk about china. So, just a few days ago we had the dd scandal.

Dd went public raised a lot of money a few days later. The chinese regulator is basically saying well, we can't have you do any more business before we actually vet you and then the whole stock collapse causing people a massive amount of damage. Now i spoke about this. I specifically made a video covering this stock and i told you this isn't really the big deal here.

It's a massive issue, but the bigger issue is: i think, that the whole chinese structure, the way chinese companies go public in the us, is the bigger problem, and i told you this is just the beginning. Now i had no idea that, just two days later, we're gon na get this article basically saying china targets offshore ipo structure, and you know i'm not gon na pretend like. I knew that this is gon na happen within days after my video, i'm not a prophet. I knew about the risks and i knew that they might materialize, and this is happening way faster than i even considered, but now we absolutely have to talk about this.

So essentially, as i mentioned in my dd video, the way chinese companies go public in the us is by this weird convoluted structure in which you don't own any shares in the actual chinese company going public sounds strange. Well, it is like it is. Essentially, chinese companies can't be owned by foreign shareholders according to chinese laws, at least certain chinese companies, and that's why they made up this weird structure just 20 years ago. Essentially, they're swinging the chinese company, it's being owned by a hong kong company, which is being owned itself by a cayman island or a virgin island or a bvi or guernsey.

Whatever some offshore holding company holding a hong kong company holding the actual company with the business and the assets and you my friend as an investor in the chinese company, you own shares in that bvi or cayman island company. In the case of diddy, it was a cayman island, but it doesn't matter for that purpose, and i said in my video number one you have no enforceability as a guy who doesn't own or girl for that matter. Any shares in the chinese company that has the business you have very little recourse very little for stability as far as the actual company with the assets in the business. So that's a huge deal in itself, but i said this in my video and i actually warned about this.

The chinese regulators can pull the plug on this any minute, basically say. Well. We never actually considered the structure because essentially these chinese companies were doing this for 20 years kind of with the chinese government. Basically, just you know turning a blind eye at some point.

The chinese government can wake up like it's doing right now and basically say well. This is not cool we're not having that, and this is exactly what's going on right now and now. According to this article, which i am going to link below, i'm not going to read the full article for you. According to this article, the chinese regulators are now saying you can't go public in the u.s, using this offshore structure without us.

First approving this pre-approved only now. This is just about future ipos and i get that, but this article says nothing whatsoever about existing companies that have used this structure in the past to actually become public in the us. Now, here's a question for you: if the chinese regulators decide that this structure is not valid, which it seems in fact they're actually saying this, let me show you in the article there's a paragraph basically where they actually say exactly that china's securities regulator is setting up A team to review plans by chinese companies for initial public offerings abroad now look at this, including those using a corporate structure which beijing says, has led to abuse so they're already giving away the cards here, essentially they're, going to rule that these structure are actually abusive. They're, illegitimate, they're illegal, whatever you want to call it, and now that we have that telltale we saw their cards.

We know that in all probability, the chinese regulators will rule that these structures are not legitimate. Now, what do you think will happen next option? Number. One is basically the chinese government saying well existing ipo companies, we're not going to interfere with it's just not fair sounds like something china would do. I don't think so.

Option number two is basically saying well guys. We need you to the list asap and get back to china and obviously people with any experience in chinese regulation and the way things work in china that understand the chinese regulators modus operandi. Pretty much will say that this sounds a lot like what china would do and, if that happens, that will cause a massive amount of damage to u.s investors and foreign investors in chinese companies by definition. Once that gets out of hand.

Basically, a lot of people will lose a lot of money, so my thought process on this - i don't want to be stuck holding the bag. That is why i specifically stay away even from great chinese companies as a matter of principle, even if they're on a massive discount because of this structure. Because of this structure, the chinese government can pull the rag underneath me at any time and leave me with literally nothing. I don't want to play that game, and again this is just my opinion, which might be inaccurate might be wrong, might be the ramblings of a madman.

I always tell you, i'm not a financial advisor, i'm just a guide internet. You have to do your own research. Decide for yourself i mean for me, it's not good enough, but maybe for you. It is it's your decision, i'm just bringing you the information.

Let's move on now. The second piece of information is actually coming out out of goldman sachs. Goldman sachs actually today decided to raise the target price on amd from 106 to 111 dollars, and i find that kind of amusing because we spoke about amd back in march march. 4Th i posted on our patreon group, basically saying hey: this is an 80 stock right now and my target price is 117 for me and about a month ago i doubled down on that.

As the stock dropped to 74., i released a whole free video for everybody, not on patreon on their regular channel, and i basically said a month ago: hey guys it's 74. This is an even better deal and i actually released this video for everyone. So if you got in at 74, you made 20. If you got in at 80, you made 14 it's at 92 right now and i think the goldman sachs are right, but i think they're actually underselling the stock, and here are my two cents about the whole goldman sachs starter price about amd and what i think Is next so the company is currently right now at 92 dollars, goldman sachs just raised their target price to 111..

I have it at 117.. We both think it is still undervalued and there's more room for this stock to run and again, if you want to check out, i have a whole spreadsheet of every single stock. I talk about so, if you become a patron or a channel member, you can audit me every day go into the file and see how bad my stocks are doing or good. At this point i mean who knows now: let's move on so now.

Let's talk quickly about kathy wood arc, invest and rook you're, going to hear a lot of thought about roku being basically sold off by the ark funds, which is not true, don't hold any rocket shares. You can't mistake me for a roku fan, but they just trimmed. The position a little bit they sold like 150 000 shares. It is still the second biggest holding in rk after tesla.

I mean it's a huge deal. I think what happened here is that the stock ran up by like plus 20 in the past few weeks, and they had to trim it down. I explained this before etfs: that's how they run. They can't get stock that go out of hand once the stock runs up.

They have to adjust a little bit. It's a no news item. So if you see arc invest in roku, it's not a huge deal. Let's move on now, here's an article! I want you to see and it sounds boring i mean why would you click on this right, microsoft to redeem more than 2 billion of your denominated paper? That sounds like worse than watching grass grow.

I mean probably would rather go to a dentist than read this right, not exactly. This is a huge telltale about what's happening with inflation check this out. Microsoft is currently repaying debt in europe early with dollars. Why would they pay now in dollars for a future debt? In europe, the only reason would be for this early repayment, which also usually comes with fines, but that's a whole different purpose.

If you think that the dollar is going to be weaker upon the actual scheduled repayment, that's the only reason you do this move. So in this context, i think microsoft are saying: hey. We think that inflation is coming. The dollar is going to get weaker, we're going to use the current price of the dollars to repay as much debt as we can in order to protect ourselves against inflation.

Again, you have microsoft, in my opinion, sending a strong signal about inflationary impact actually right around the corner. Now speaking about things right around the corner check this out. There's two articles: i want you to see number one is about the olympics now that the olympics in japan have basically been set without any audience, and now that this article just came out, americans will need mass indoors as us heads for a dangerous fall. You have two warning signs coming out from different places in the world, japan and the us in japan, they're, basically doing the olympics without any audience, which is huge.

It's a roll back in the us they're rolling back masks, probably indoors. So if you're thinking about macro stuff, you're, actually seeing a return of covet at least strong signals that covet may be returning and if you catch it early and when it actually pans out, you might make a lot of money on this crisis. I mean i hate to say it i mean, but people make money during crisis. It's just the way it is.

You can either be on the sideline or you can participate. There's no other way about it and again i'm not a prophet. I don't know if it's going to happen or not, but i mean it's a really interesting play now. If you enjoyed this video, make sure you share it with a geek friend that likes this nerdy stuff, as always a huge shout out to the channel members and the patrons i'll see you guys in the next video.