China warns Trump it may 'take revenge' over diplomatic policy

Stocks (^DJI, ^GSPC, ^IXIC) are mixed at the midday mark, with the tech sector (XLK) still in the green, and energy (XLE) the most in the red. Keith Bliss of Cuttone and Company joins us live from the New York Stock Exchange.

To discuss the other big stories of the day, Alexis Christoforous is joined by Yahoo Finance editor-in-chief Andy Serwer and Yahoo Finance’s Seana Smith.

China warns Trump about violating One-China policy

Trump is facing heat from the Chinese government. That’s after Taiwanese President Tsai Ing-wen stopped in Houston over the weekend, meeting with various Republican officials. This morning a Chinese state newspaper warned Trump that China would “take revenge” if the US does not respect the One-China policy, which does not give the Taiwanese President diplomatic authority.

American tourists win as US dollar soars against peso

Good news for American tourists is that the dollar has gained about 20% against the peso in the last year—mainly because of worries about Trump’s trade ideas and his talk of a border wall. Yahoo’s Brittany Jones-Cooper reports that a pint of domestic beer in Cancun will cost Americans less than a dollar. That’s compared to five bucks in Chicago.

AARP’s list of ‘great’ places to live on less than $40K

AARP’s magazine is out with a list of some great places for retirees to live for under $40,000 a year. The list includes Sheboygan, Wisconsin on the western shore of Lake Michigan; Fort Walton Beach, Florida on the Gulf Coast; Abilene, Texas and Canyon City, Colorado. The cities were picked based on cost of living, housing prices and access to good doctors and hospitals, among other factors.