Standard Chartered Private to Increase Allocation to Cash, McDonnell Says

The transcript discusses the potential for a market rally influenced by the Fed and trade relations between the US and China. It highlights the importance of a detente between Trump and Xi to prevent further trade disputes. The conversation shifts to market gains, the peak of Fed funds in 2019, and the need for increased cash allocation due to expected market volatility. The discussion concludes with an analysis of the Korean market, focusing on its low valuation and the risks associated with DRAM inventory buildup and Intel's issues.

What is the expected outcome of a detente between the US and China according to the speaker?

• A stabilization and potential market gains

• An escalation in the trade dispute

• No change in market conditions

• A significant market crash

What is the speaker's recommended strategy for cash allocation in 2019?

• Decrease cash allocation significantly

• Maintain the same cash allocation as 2018

• Increase cash allocation and be ready to invest during market corrections

• Invest all cash in high-risk stocks

Why does the speaker suggest being nimble in 2019?

• Due to a predicted economic boom

• Because interest rates are expected to decrease

• Due to anticipated high volatility and potential corrections

• Because the market is expected to be stable

What is a major concern for the Korean semiconductor market?

• Inventory buildup and issues with Intel

• High competition from Europe

• Decreasing demand for electronics

• Lack of innovation

What percentage of Korea's earnings comes from the DRAM product line?

• 40%

• 60%

• 10%

• 25%