Comments from experts
U.S. stocks off about 1% on #ChinaTariffs, but many investment experts aren't rattled. Some interesting comments I've picked up on this morning: Deutsche Bank chief global strategist Binky Chadha: "Geopolitical risks, in which I would include the trade war, have historically been associated with sharp, shot-lived selloffs. Important to keep in mind in the current context that both sides are really saying it's time to negotiate and the tariffs are not coming immediately here. Yes, we could debate who blinks first, but I would argue it is more than likely that it actually gets resolved." KKR & Co. L.P.'s head of global macro and asset allocation, Henry McVey: "I don't believe we're going to have an all-out trade war. Global trade as a percentage of GDP actually peaked in 2007 -- nobody's talking about that. We've entered a new era between China and the U.S., but I'm not expecting this to be the end game. It's an opening of the negotiations. Our view at KKR is we're not starting a bear market." Christopher Ailman, CalSTRS chief investment officer: "We're in a roller-coaster market. We just have to get used to this volatility. About half of this trading volume is high-frequency trading, which means this kind of volatility is going to be with us for a while." What do you think?