From the point of view of Michael Heartnet of Bank of America, the possibility of further stock market weakness will take President Donald Trump on the tariff. Although the administration officials have repeatedly stated that they see the current stock market reform as a temporary response to the President’s supporters, finally the trump would react, the bank’s main investment strategist said in the weekly analysis of the market trends. “We say this is an improvement, not a bear market in American stocks,” Hartnet wrote. “(M) Archets stop panic when policy makers start nervousness … because equity bears threatens recession, fresh decline in stock prices will instill flip in business and monetary policy ‘She loves me’.” The observation comes with markets that are largely on apprehensions that Trump’s broad tariffs will promote inflation and possibly give tanks to the economy. S&P 500 fell into a 10% improvement from its February high on Thursday, although the markets were strongly positive on Friday. .SPX 1M Line S&P 500 for improvement in last month. Heartnet feels that market damage will be limited, but they do not expect the sale to end. Large-Cap S&P 500 index will be “a good purchase”, it should be hit by 5,300, which will be 4% less than Thursday, and when the cash level of institutional investors rises above 4%. A “inauspicious” signal is that he sees during the current sale, there is a simultaneous decline in the yield of both shares and treasury, a trend that he said that is similar to market behavior in the financial crisis periods of 2000, 2002 and 2008. “Good news is the financial situation (are) easily” Hartnet said, stating low yields as well as a decline in US dollars and oil. “Hartnet said that” reforms once sell “cracks,” citing raising credit spreads. ” It was quite finished, “he said.
