How to cash in on this U.S./China face-off

sean-bowerDon’t worry if you’ve been missing out on the profits that’ve been raining in from Donald Trump’s policies, because there’s still time for you to cash in on this behemoth.

In fact, you’re reading this at the perfect moment. The Chinese government are in the middle of a massive bidding war with an American company, and their target couldn’t be in any better of a position.

While most people are going to sit there caught up in all the media “facts” and misinformation, we’re going to cash in on this face-off… and the profits are set to be huge.

The Chinese government won’t put up without a fight, but do you think a determined American company will either?

It looks like Trump’s policies have finally piqued the financial interests of the Chinese government.

They’ve had their eyes on an American company that allows its customers to send money internationally while reducing hefty fees.

Trading just under $300 in 2006, MoneyGram (MGI) was once one of the stock market’s gems before it found itself in a rut after the 2008 crash, but it’s recently been added to the list of stocks that look like they’re going to explode under Donald Trump.

The magic in this company that the Chinese government have latched on to comes through its dealings with transactions being sent to Mexico.

A massive factor of the Mexican economy is the money that’s sent back there from family members who are working in the United States.

This money is transferred to Mexico through many different mediums, but it looks like physical transactions could soon become a thing of the past.

Whether Trump is successful with his full-blown wall, or he has to settle with a border-wide fence, we can be certain that immigration to the U.S. from Mexico will become a lot tougher.

That’s why MoneyGram has become the focus of many investors—including the Chinese government.

The MoneyGram craze all started shortly after Donald Trump was elected.

The early-birds who were sharp enough to make the connection with the company and Trump’s border wall saw the stock raise a healthy 40% in just over a week.

But that’s just the tip of the iceberg.

Two months after that spike, Chinese financial firm Ant Financial—which holds the Chinese government as a 15% partner—placed a bid to buy MoneyGram for $880 million. This urged a 9.4% overnight spike in MoneyGram’s stock.

More recently, American-owned Euronet Worldwide (EEFT) jumped in with a higher bid for $1 billion—pushing MoneyGram up a whopping 29%. This prompted Ant Financial to up its bid to $1.2 billion, which raised MoneyGram’s stock another 9%.

Ant Financial’s latest bid has been approved by MoneyGram, but that certainly doesn’t seem to be the end of the line.

Euronet Worldwide has openly stated its determination in acquiring MoneyGram, and have scrutinized the approval to sell to the Chinese giant.

The U.S. Committee on Foreign Investment would still need to approve the acquisition, and that’s certainly not something that’s going to happen overnight.

In light of the latest bid from Ant Financial, U.S. congressmen Robert Pittenger and Chris Smith have raised concerns about the sensitive financial information the Chinese government would have access to concerning MoneyGram’s U.S. customers.

This opens the door for a fresh bid from Euronet Worldwide.

As this face-off continues, MoneyGram could show some very bullish signs in its stock’s chart.

I’ll be keeping a very close eye on this one, and if I see those signs show, our CHIRP subscribers can be sure that the perfect entry point will be revealed.