Volatility and Reflation Expectations for 2017 Markets

The video discusses the potential impacts of market conditions on UK assets, focusing on Sterling's risks and economic constraints. It explores market volatility and strategies for protection, emphasizing the importance of buying protection at certain points. The discussion shifts to the US market, analyzing the effects of proposed tax cuts on domestic stocks and the broader market outlook. Finally, the video examines bond yields and economic indicators, highlighting the ongoing movement in bond yields and the implications for the US economy.

What is one of the main concerns if the pound continues to weaken?

• Increased competitiveness of UK exports

• Higher asset values in the UK

• Problems for UK asset values

• Lower interest rates

What is a significant factor contributing to the pressure on the pound?

• High inflation rates

• UK's current account deficit

• Rising interest rates

• Strong economic growth

What is the general outlook for market volatility in the coming year?

• Volatility will not affect markets

• Volatility is expected to decrease significantly

• Volatility will remain constant

• Volatility is expected to increase at certain points

What is a potential benefit of the proposed US tax cuts for domestic stocks?

• Increased tax rates

• Higher effective tax rates

• Lower effective tax rates

• Decreased competitiveness

What is a concern regarding the long-term sustainability of US fiscal policies?

• No impact on fiscal deficit

• Stable fiscal deficit

• Increasing fiscal deficit

• Decreasing fiscal deficit

What is the expected trend for bond yields according to the discussion?

• Bond yields will remain stable

• Bond yields will fall sharply

• Bond yields will decrease

• Bond yields will continue to rise

What is the potential impact of Trump's tax cuts on the US fiscal deficit?

• It will have no impact

• It will stabilize the deficit

• It will decrease the deficit

• It will increase the deficit