Staying the Course

Despite the volatility around the “Trump trade”, our outlook on the US economy remains bearish. The US stock markets may take a breather given the extraordinary returns since November 2016, and specifically, the interest-rate sensitive sectors such as the financials, home-builders, utilities and REITs are subject to even more volatility in the days ahead.

Monthly reconfiguring of the asset weights based on the most recent available returns data seems prudent in the current environment.