Trump Has The Stock Market and Fed Cornered
The stock market selloff continues amid the escalation of the trade wars between the US and 180 other countries. It’s left investors asking the questions:
Where is the bottom?
Are we headed for a recession?
Unfortunately, the answers are largely rooted in the decisions that President Trump makes in the coming days and weeks. There have been talks about the Fed decreasing rate, tax reform getting passed sooner, negotiations beginning with 50 of the 180 countries that we placed tariff on, but in this article we are going to explain why all of these solutions may be too little too late when it comes to the overall negative impact that tariff are currently having on the US economy.
The March Selloff – Trouble on the Surface
March was a tough month for the stock market, with the S&P 500 Index dropping by over 5% for the month. With the new “Liberation Day” tariffs going into effect on April 2nd, many investors are asking if the new tariffs and the recent stock market correction warrant a change in investment strategy. Will the selloff continue, or are we in store for a market rally in April?
In this article, we will share our market analysis, highlight key economic data points to watch as the new tariffs are rolled out, and answer the question: Do recent events warrant a change in investment strategy?