The tariffs against China won’t push the U.S. into a retreat, as indicated by SkyBridge’s co-chief investment officer Troy Gayeski.
“You would have slightly lower growth than you would have otherwise because of tariff implementations but by no means is implementing additional tariffs on China enough to drive the economy into a recession,” Gayeski said at SkyBridge’s annual SALT Conference, founded by Anthony Scaramucci, in Las Vegas.
Given how the S&P 500 (^GSPC) bounced back so strongly this year in the midst of the policy shift from the Federal Reserve, Gayeski said the market is as of now inclined to a remedy. What’s more, extra tariffs is a reason to sell.
In any case, that might be good news for investors who passed up the 14.5% gain in the S&P 500 so far this year.
“If the [additional] tariffs are implemented, there will probably be a bit more market weakness,” Gayeski said, including that he sees a purchasing chance to give new capital something to do in stocks conceivably throughout the next two weeks.
In any case, Gayeski said the pro-growth policies from the Trump administration, for example, corporate tax cuts and deregulation, are exceeding the counter-development policies like tariffs.
The most recent heightening of trade tensions came when Trump gauged raising existing tariffs on goods from China, as indicated by a tweet he released on Sunday.