President Joe Biden and his entire government apparatus are ready to return to do extreme competition against China. However, Joe Biden's way will be very different from what has been done by previous US presidents.
Joe Biden would not apply the same ways Donald Trump has done, however Biden would take the International rules against the Chinese government. Joe Biden also stated that he would cooperate with several other allied countries to pressure China in any way.
In addition, the current US secretariat, Anthony Blinken on his first speech, said that he will seek the Chinese accountable regarding Taiwan's status and also China's authority on the Myanmar military which had carried out a coup against the government of Aung San Suu Kyi, which is the official government of Myanmar. The US government strongly disapproves of China's extreme activities and will maintain global geopolitical peace.
This current condition, has make investors pay attention to the market’s movements, which more sensitive towards all the news in the US. Various positive catalysts such as the result of US unemployment rate which fell from 6.7% to 6.3% it is indicate an economic recovery amid the pandemic that is still ongoing at this time. Moreover, for the longer term, the movement of the US stock market still supported by corporate earnings growth, along with the President Joe Biden cabinet’s plan to provide large amounts of stimulus.
With the trend of global economic recovery and massive global stimulus, investors can diversify the portfolio into funds with exposure to the developed markets such as US also emerging markets, in view of the increasing trade tension between US-China, potentially could drive US to shift some of its trade relations to other emerging countries.