Developed market equities closed indecisively/lower last week, with President Trump’s health-care bill problems contributing to dollar weakness and concern about other potential legislative hurdles. The report discusses the US health-care issue. Last week’s ECB policy update is covered, underlining the importance of the euro/dollar rate. Another section explains how our positive Asia-Pacific (ex-Japan) equity view is paying-off. The Investment Summary gives a road-map for what needs to happen now for Trump to make progress, and the hurdles the Republicans might face. US stocks may tread water for a while.
Claude-Henri Chavanon, Head of Products & Services - Wealth & Private Banking