Gene Munster, who is from Deepwater Asset Management, says that the ban of TikTok in the US is inevitable and could cause problems for US stocks.
According to Munster, the testimony of TikTok’s CEO in Congress last week serves as a warning against possible bans or forced sales of the app.
Munster points out that the ban is inevitable, as policymakers made intense criticisms during the hearing.
This situation could create retaliation risks for US companies doing business in China, while the ban on TikTok could be negative for US-China relations.
Additionally, according to the House committee’s perspective, TikTok’s addictiveness is causing concern about its impact on the mental health of young people.