by Pamela Williams
President-elect Trump means business when he says, “Put America First.” It is not just a slogan for him, it is a way of life. J.P. Morgan Chase’s key strategists wrote that investors should expect relatively high returns in 2017 by focusing on U.S. equities over government bonds, cash, and equities in other markets.
President-elect Trump’s economic global dimensions disproportionately favor the U.S., and in some cases come at the expense of foreign economies. On everything Trump touches, he leaves his mark. It is the same with Trumponomics, and if the savy investor puts America first, the American economy under President-elect Trump will restore itself and flourish.
There is no need to look at a bleak economic future under Trump…just follow his lead. But not everyone wants to do that. Harvard professor and former U.S. Treasury Secretary Larry Summers says America is in for a turbulent ride with Trump’s voodoo economics. Summers makes it very clear he is not optimistic.
fortune.com/2017/01/04/larry-summers-markets-donald-trump/
FROM LINK:
U.S.-driven political risk has yet to rumble markets, and investors are staying positive as Trump’s Jan. 20 inauguration draws closer. The S&P 500—bullish on economic growth and fiscal stimulus packages—rose almost 10% in 2016 and is close to a record high, Bloomberg reports. The Dow Jones also climbed 13% last year.
But Summers sees scant cause for optimism. He described the Navarro-Ross paper, published in September to outline Trump’s plans for trade and growth as “beyond voodoo economics.”
“The logic of it, the arguments made, are so far out of the mainstream of any kind of responsible economic thinking that they are the economic equivalent of creationism,” Summers said.
I disagree with Summers, and I think we have a better chance with President-elect Trump and Trumponomics to make America great again, especially economically. Trump’s protectionist trade policies should boost U.S. equities over foreign ones. Secondly, Trump’s plan to lower taxes and increase spending should also decrease the chances of a near-term recession. Sounds pretty positive to me!
fortune.com/2017/01/09/jpmorgan-donald-trump-trumponomics-us-stock-market/