Staying long US assets

In this episode of "The Markets," Chris Hussey interviews Ashok Varadhan, co-head of Global Banking and Markets at Goldman Sachs, about recent economic data and market trends. They discuss the benign inflation data, the impact of tariffs, and the possibility of a recession, with Ashok suggesting that a recession is unlikely given the current growth rate and unemployment figures. Reflecting on the market's 50% rise since April 2023, they consider current investment opportunities, highlighting trade and deficits as potential concerns. Ashok anticipates a stable dollar and finds no immediate issues with current bond market conditions. He maintains a preference for US assets, particularly market-leading companies, while advising some diversification into foreign currencies. The conversation concludes with a look ahead, focusing on whether current trends will be reflected in underlying economic data.