PAR FRANCOIS SAVARY, CIO

Trump tariffs has earned tit for tat reaction from various countries. Markets have reacted negatively and are not loving it. Long term trade barriers are inflationary and even stagflationary. US bonds initial reaction is a steppening of the curve. USD has firmed appreciably against all currencies. Stock indexes are negative but longer term will still have potential for new highs. Automobile are most at risk from tariffs. Luxury goods in Europe my suffer. Financial stocks may be resistant along with stocks relying less on exports. Gold on course for reaching target of $3000