Monday, December 19, 2016
JPM: "The Most Significant Recent Development Is The Changing Narrative Around Trump"
At Zero Hedge by Tyler Durden --
With markets entering holiday mode, and volumes across the globe sliding, there are few notable developments of note; however JPM, which last week warned that a shift in the political mindset is set to be the biggest market catalyst in the coming weeks, things are starting to change.
Recall that as JPM's Adam Crisafulli wrote last week:
"next very big catalyst for this market will be the Trump/Ryan tax reform plan and how it makes its way through Congress. Elevated political expectations are the single biggest risk for the tape and once the year-end chase rally euphoria wears off this will likely weigh on sentiment."
Overnight, JPM followed up with a note in which it suggested that the narrative around Trump is indeed beginning to change, and that - aside from geopolitical tensions with China which now appear to be fading away for the time being - is the "most significant development over the last several days." Here is the full note: