Halister News

(Bloomberg) -- Trump’s protectionist stance along with a strong USD may hurt corporate profits and globalized companies in the long-run, Bill Gross says in a Janus Capital investment outlook.

• “The establishment’s emphatic ‘whatever it takes’ monetary policies are the law of our financial markets. It pays to not fight the tiger until it becomes obvious that another plan will by necessity replace it”
• “Unconstrained strategies should increase cash and cash alternatives,” like high probability equity buyout proposals; expects bond durations and risk assets to underperform
• Policymakers’ plan to solve long-term global debt crisis by keeping interest rates artificially low dubbed “extend and pretend”
• While Trump’s policies aim to promote capitalism, “government controlled, near zero percent interest rates distort markets and ultimately corrupt capitalism as we once understood it”
• Link to full article here
• Link to outlook here