Investor In The Family Radio

Overview Shareholders owe a debt of gratitude to Trump as Dow approaches 20K (in reality a number with little meaning) US equities have grown in value by almost 7% since the election This all reflects perceptions and expectations, not yet realities This is a “hope and faith based rally” The outlook for growth and inflation shouldn’t change anytime soon since fiscal policy won’t change until next year at the earliest Regulatory changes that can be implemented by executive order would be the most immediate and potentially most powerful changes For the markets, this means more mediocre global growth, subdued inflation, tamped down volatility, more accommodative monetary policy from central banks Even so, the “animal spirits” of investors have been aroused The boost from a Trump presidency may be bigger for main st than wall st Berezin from BCA Research things that rising protectionism my hurt global economy, the effect on US will likely be modest since we’re a relatively closed economy. Exports are only 12% of