The trade deal which had been awaited to be signed for very long that is the phase one deal between China and United States is presently due for signing this Wednesday however there are a lot of uncertainties which are lingering on despite the deal.
Joseph Little, who is a global strategist said that that there were still a lot of concerns about the outlook in the macro sense about how the structure internationally with the United States is still challenging the World Trade Organization nominations. The environment for trade has been remaining a lot in the flux and there is a cause for concern as well as challenge for all the investors.
The uncertainty not only in terms of trade but also in terms of politics, economy and environment is going to in all probability limit the returns across these assets. He thinks that it is tough to be confident about seeing a strong, synchronized and significant phase globally of expansion and similarly in the markets of investment. They think it is very difficult for them to get too positive and feel that there will be a great phase for the returns in the market.
Having said that Little, is not exactly negative and said that the stocks can see a return to 7% or 6% in the year. He has not put a lot of emphasis on the data which show that the rations of price to equity have been elevated. He said that he is an asset allocator and the important question is how the opportunity is going to look at this moment and not how the markets are trading in relation to how they have been trading earlier.