The durability of the equity rally is now in question, with shares tumbling across Asia and US equity futures sliding. Analyst teams at Bank of America Corp., Citigroup Inc. and Unicredit SpA had all published research notes flagging the chances of a Goldilocks return in the run-up to the Trump tweets. The tariff warning followed weeks of a steady drum-beat of reports indicating that the world’s two largest economies were resolving their differences on trade. “It’s the uncertainty effect that’s the big issue here," Andrew Tilton, chief Asia Pacific economist in Hong Kong, told Bloomberg Television. The Trump tweets on Sunday came just two days after an April US employment report that was the embodiment of Goldilocks.

Source: Mint May 09, 2019 16:07 UTC