Reported 2 days ago
Pimco warns that US financial markets are at risk of mimicking the dynamics of the UK and emerging markets due to the Trump administration's protectionist policies and recent tariff announcements. The firm highlights a steepening Treasury yield curve, weakening dollar, and declining equities as indicators of investors seeking higher risk premiums. They anticipate a stagflationary scenario, suggest strategic adjustments such as underweighting the US dollar, and express concerns over limited government support during economic downturns.
Source: YAHOO