Impact of Trade tensions and a lesson from Rome
The ongoing rhetoric from the US Administration, largely targeted towards China, but with a few jabs thrown in at the EU for good measure, is starting to unsettle the markets, and threatens to call an end to the bull run in US Equities that has been such a tangible benefit of Donald Trump’s Presidency. Markets don’t like uncertainty, and while seeing Trump cutting loose on inequities in trade and giving the leaders of those countries a migraine is undoubtedly amusing, there is a risk that these initial skirmishes might just get out of hand and do some real economic damage. The President is a businessman first, and good businessmen ensure they have talented advisors to help them in areas where they need it, and more importantly, they pay attention to the advice given. Trump would do well to look to history, and to the tradition of the Roman Auriga, whose job it was to hold the laurel crown over the head of the Commander granted his Triumph and remind him to be humble with the words memento homo - “Remember- you are only a man”.