The WTO affects the stock market through trade agreements. 🤔

Here are 4️⃣ popular examples:

1️⃣ Tariffs

Low tariffs, or trade fees, can increase a company’s profits, thus potentially raising stock prices 💸📈

2️⃣ Trade Bans

If WTO bans trading within a certain company, U.S. company’s that trade there could see decreases in their profits, and therefore stock prices. 😮📉

3️⃣ Intellectual Property

Tech and pharma companies do everything they can to keep their product recipes secret! 👀

They do this through patents and copyrights. 🤔

If the WTO rules that a certain patent must be shared, or become public knowledge, the original company’s profits could decrease. 😔

4️⃣ Raw Material Distribution during Global Crises

If a certain country is having a drought, WTO may suggest shipping discounts to that country. 🤔

This could hurt the profits of large water companies, thus decreasing their stock price. 🧮

Now you understand how the decisions and actions of global organizations like the WTO can send ripples through the ocean of the stock market. 🌊