US-China trade deal optimism offers up important investing reminder

The recent US-China trade deal has sparked optimism in the markets, with the US agreeing to reduce tariffs on Chinese goods from 125% to 10% for 90 days, while China reciprocates with a similar reduction. Despite the positive market reaction, analysts advise investors to remain selective and cautious, particularly regarding companies heavily exposed to tariffs. Notable stock gains were seen in retailers sourcing from China. Experts suggest focusing on less tariff-exposed stocks like Bank of America and JPMorgan, while questioning the sustainability of the current trade policy direction.