Readers of my last few posts here remember my bearish outlook, especially on US equities.
A correction is defined as 20% off, but I think for the US stocks we can still have further downside to go. Sell-offs on Fridays continue on Mondays. The US sell-off is also valuation driven.
I sense that there will be a compromise and that the deals to be reached, especially with European trading partners of the US, indicates a floor.
The infamous Tariff Table is a headline and not set in stone. It’s not the Ten Commandments.
This leads to opportunities. Switzerland 31% tariff led the SMI Index to shed all its gains for the year, although more than 50% of the index is in food and pharma.
If the tariffs are changed to a 10% universal tariff we have some major opportunities to buy.