Trump Administration: How Will The Markets Be Affected?
Maybe we’ll give it another week or two, but so far the so-called Trump Rally has been taking a bit of a dive these past few days.
Now, the only highlight I saw was Apple’s robust earnings report which demonstrated that the iPhone 7 Plus was the big winner during the Holiday Season.
In other news, it looks like the Trump Effect is causing a LOT of volatility in the markets. Trump’s harsh diplomacy and bullying has caused some riffs with some corporations and countries alike.
It’s hard to say when the dust will settle, but it would make sense to at least divert some of your investment funds into some key ETFs and other Index Funds that track a broader sector or industry. As individual stocks might be in for some bumpy rides.
Stocks Slip on Trump Diplomacy Woes; S&P 500 Bucks Weak Trend
“U.S. stocks closed mostly lower after bouncing around Thursday as concerns about President Donald Trump’s approach on foreign affairs amid spats with key allies and trade partners cast a pall over the market.”
How to Play the Trump Stock Market Rally
“In the four weeks since Donald J. Trump was elected president, many stocks have soared and the market’s winners have been clustered around a specific theme: an inflating economy.”
Dan Loeb: If Donald Trump is going to ‘Make America Great Again,’ He Needs a Strong Stock Market
“Hedge fund giant Dan Loeb has a clear message for President Donald Trump: You need the stock market to ‘Make America Great Again.’
In a note sent to clients on Wednesday, the head of Third Point said: “For the new President, it will be tough to #MAGA if the stock market is faring poorly. This is not a simple task. Some aspects of tax reform, namely [a border adjusted tax], have the potential to create some volatility in earnings for large importers of goods into the U.S.”