Ah, President Trump, you sure keep things interesting. The main reason markets reacted so much to recent political news, where it has largely ignored most of it before, is because there could be something actionable against Trump, which causes uncertainty. Markets hate uncertainty. Markets have already baked in many of Trump’s plans, particularly his plan to lower taxes for corporations. Now that recipe may change.
Our feeling is to use patience, which is a commodity hard to find among investors. A slight correction would actually be healthy for the markets. We feel that the summer will be a holding pattern. However, if these allegations turnout to be true and impeachment proceedings occur it could get ugly for a short period, but once confidence returns the strong markets will move back to their normal direction.
On another note! The hardest thing in the world is to simplify your life, because everything pulls you to be more and more complex. We have four core values; Do what you love, Simplify and make it elegant, deliver what you promise and balance is key. Let us know if we deviate from any of these core values.
Make it a great week!