Hu Xijin, the Editor of Global Times, tweets about the Chinese government's views on the trade war and his tweet saying that China may cut Boeing's orders sent the aircraft maker's stock into a tailspin.
Over the past few weeks, tweets by a Chinese journalist have become of paramount importance to fund managers and investors.
Hu Xijin, the Editor of Global Times, tweets about the Chinese government's views on the trade war and his tweet saying that China may cut Boeing's orders sent the aircraft maker's stock into a tailspin.
The 59 year-old journalist said his job does give him access to certain information, but he is not in a position to release it.
"I'm not sure if Chinese officials are deliberately passing on information to me. The officials and I have a tacit understanding," Hu told Bloomberg in an interview.
Wall Street has been paying attention to his tweets, with many thinking his tweets give insight into the Chinese Communist Party (CCP).
"A lot of fund managers and investors we know are watching Hu’s Twitter account closely, as it provides key information about China’s stance on the trade war and other issues," Larry McDonald, founder of investment newsletter Bear Traps Report, told the news agency.
"Hu's Twitter account is seen as China's way to fight back. It is a negotiation tactic by the Chinese Communist Party," McDonald added.
Most recently, his tweet on the negotiations between the US and China drew a lot of attention. His followers on Twitter have doubled since trade tensions have escalated.Today, I asked one from Chinese side who knows the trade talks well, how many possibilities there still are to reach a deal before Friday. His answer is: 0. If it is that bad, the real suspense is whether the two sides will continue negotiations after Friday.
— Hu Xijin 胡锡进 (@HuXijin_GT) May 9, 2019
On June 3, Hu tweeted that China will warn students against going to the US. This statement came true a few days later in a statement made by China’s education ministry.
Based on information I received, China will issue a warning on the risk of studying in the US. This warning is a response to recent series of discriminatory measures the US took against Chinese students and can also be seen as a response to the US-initiated trade war.
— Hu Xijin 胡锡进 (@HuXijin_GT) June 3, 2019
US aircraft manufacturer Boeing’s shares slumped after Hu tweeted that China might reduce orders from the company.
China may stop purchasing US agricultural products and energy, reduce Boeing orders and restrict US service trade with China. Many Chinese scholars are discussing the possibility of dumping US Treasuries and how to do it specifically.
— Hu Xijin 胡锡进 (@HuXijin_GT) May 13, 2019
The journalist claims the tweets are “based on what I know” are “definitely true.”
“My background carries a certain amount of authority, but I also speak on issues that other state media keep quiet about,” Hu told Bloomberg.
Hu says he will be more careful in future, given that his tweets are gaining attention.
“If my tweets create collateral damage and cause losses for US investors, that’s not what I want. My biggest hope is to express things more freely” Hu told Bloomberg.
Hu has also shared his views about the trade war’s impact on India, saying it will be beneficial to India. He even praised Indian Prime Minister Narendra Modi after his re-election on May 23.
Indian media believe the China-US trade disputes are beneficial to India. The logic is correct. Independence is basis for India to seek benefit from tense China-US ties. India can maximize interests by not tilting to either the US or China. This is also true to other countries.
— Hu Xijin 胡锡进 (@HuXijin_GT) May 11, 2019
Congrats to @narendramodi. He is a practical Indian leader with wisdom.Though India stirred up Doklam standoff, his peaceful settlement of the crisis with China left a deep impression. He is good at striking a balance between China and the US. He may lead India to prosperity.
— Hu Xijin 胡锡进 (@HuXijin_GT) May 23, 2019
