JULY 2018

Doug Cohen Provides Perspective on the US Markets in the Wall Street Journal

Doug Cohen, Managing Director, Portfolio Management, shared his perspectives on the US markets in a July 5, 2018, Wall Street Journal article titled, “U.S. Stock Rise as Investors Shrug Off Looming Tariffs.”

The article reports that US stocks climbed one day prior to a tariff deadline as investors focused on economic data and the potential easing of some trade tensions. In advance of the Labor Department’s monthly employment report, Mr. Cohen noted that the markets may prefer a job number that is below expectations. “I think if we see a modest slowdown in job growth and even a slight tick up in unemployment, the equity market would probably like that because it increases the odds of the Fed maybe only going one more time this year [in raising rates] rather than two times,” he said.

Minutes from the Federal Reserve’s latest meeting revealed growing unease with how trade policy could hold back business investment. However, the Fed indicated it could raise rates over the next year to a level that no longer seeks to stimulate growth in response to inflationary pressures. “It underscores the fact that even the Fed itself is seeing conflicting evidence,” said Mr. Cohen.

The full article can be accessed here.

Doug Cohen is a senior member of the Portfolio Management team and is responsible for delivering investment advisory services including asset allocation, portfolio construction, and other portfolio management-related services. In addition, Doug oversees the firm’s New York office.