Investors should ‘separate’ political opinions from investment choices, economist urges

InvestorDaily

Investors should avoid letting their opinions about the Trump administration cloud their investment choices, with any impact of Trump’s policies on the US economy likely to be minimal, according to Challenger’s chief economist, Dr Jonathan Kearns. During a webinar, the chief economist advised investors not to panic despite the current “dip” in the US economy, with the long-term outlook still positive. “If you look at those forecasts for 2027, there is a pickup in US growth – so it is a temporary dip,” he said.

Kearns said that structurally, President Trump’s policies won’t have as much of an enduring impact on private companies – and therefore on equity markets and other investments – as some predict. “Their performance is perhaps [in] the near term as a result of some of what we’re seeing, but more forward-looking, the impact is less,” he said. President Trump’s policies stem from various motivations, such as an effort to reindustrialise the economy and curb the impact of imports and international competitiveness on the domestic economy.

The rest of this article can be found at investordaily.com.au.