Geopolitics – where we going !!

Well we can think all we like about Trump but the fact remains US is still the major economy so whenever US matters a word the markets react. US economy in a healthy state and looking good - one only has to look at employment numbers to gauge that - so the way markets reacted to talk of Tariff wars tells us that US equity markets may be a bit toppy with players looking for any excuse for a correction. The problem we have is the fear of the unknown with policy flip flop which is never going to end well. Then on the other side of the pond we have the UK whose economy is chugging along nicely but the Brexit overhang is still a big unknown. Then Europe - the union still has a few problem children. At the same time we have Libya, Iran, Venezuela, shale and OPEC and China.

Ok, alot to think about and we didn't even mention Nth Korea. So whats all this mean. Well volatility is back and its only going to get higher - not so bad if you know what you're doing. My plays at moment is still short the dollar against euro and sterling. JPY, sitting on the sidelines at moment.

Good luck all.

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