The eyes of Wall Street have been stuck on the hazard which lurks due to the ongoing Tariff war between the U.S. and China. So Ben Emons from Medley Global Advisors identifies two other dangers which stand there waiting to pounce on the global markets. Judging from the trails which international affairs are taking, the two huge risks which current markets face in near future are the fallout surrounding Brexit along with the risk of U.S. imposing new tariffs on cars manufactured in Europe are threatening to pounce and put investors and their investments into jeopardy.
Ben suggests that a no-deal Brexit has a building risk to disrupt the markets around the globe. the effects can be still seen, in words of Ben, “with the changes in leadership in the UK.” The possibility of the U.S. President Donald Trump imposing tariff on European cars also remains an impeding hazard. His administration had recently delayed the final decision on the matter by a maximum period of six months, taking time to decide if the bill to put tariffs on cars and their parts should be given the final nod.
This remains to be a prime subject for people to keep their eyes on post the G-20 Summit held at Japan. Due to the arising risks, we are also likely to be seeing central bank easing actions in near future to address the issues which these glaring risks will impart to global markets.