Charles Schwab Chief Global Investment Strategist Jeffrey Kleintop has joined Market Domination to discuss President-elect Trump’s tariff proposals and their potential market impact. While acknowledging the risks, Kleintop believes a more moderate approach is likely. Here are three key reasons why:
Kleintop expects a less aggressive tariff approach due to Trump’s past focus on establishing trade deals rather than implementing severe tariffs. He also views Trump’s tariff rhetoric as diplomatic leverage rather than strict economic policy.
Global patterns among right-leaning governments support Kleintop’s view, suggesting that the worst-case scenario may not materialize. Furthermore, Trump is in tune with the stock market, and the markets provide swift feedback on his policies.
However, two current risks – deportation plans and the Federal Reserve’s monetary policy path – remain significant concerns for investors.
Source: https://finance.yahoo.com/video/trumps-tariff-policy-likely-more-204605694.html