Is Donald Trump right that the US economy is in “a big, fat, ugly bubble”? Neil MacKinnon, global macro strategist at VTB Capital, says Yes. US financial markets are in a bubble, courtesy of the Fed’s long-running ultra-easy monetary policy. Equity markets are at record highs and at extreme valuations, even though US corporates are still in a profits recession. Credit markets are exhibiting 2007-style excess leverage and commercial real estate [...]
As Hillary Clinton recovers from pneumonia, should markets worry about the state of her health? Mike van Dulken, head of research at Accendo Markets, says Yes. Markets are right to be concerned about the health of the US Democratic presidential nominee. First, they had increasingly been pricing in her beating Republican rival Donald Trump, who could be disruptive for the economy, and this health scare calls that into question. Everyone [...]