The Trump fake - Commerzbank

Research Team at Commerzbank notes that the Donald Trump has promised a lot – but what if he doesn’t deliver?

Key Quotes

“Obviously, a less aggressive tendency towards global trade would support export-oriented countries. However, if he failed to put through the vast amount of tax cuts and infrastructure investments – or if at least markets got the impression he will fail – we may see the trumpflation trade reverse, pushing inflation expectations and hence yields lower. This should also weigh on equities as hopes for an acceleration of US growth would be priced out.”