Deutsche Bank on 4 factors that could prompt further losses for US equities

Deutsche Bank make note of the shunt lower for US stocks on Monday, saying markets remain sensitive to ‘downside news’.

• add that selloffs from time to time are normal
• mention that recently bearish factors are beginning to look more positive

DB point to 4 factors that could hit stocks ahead though:

1. The delayed impact of previous interest rate hikes hit the economy and financial markets.
2. Rising inflation and elevated long-term borrowing costs finally weigh on risk assets.
3. The Trump administration enforces stricter tariffs, leading to higher inflation and slower economic growth.
4. Economic indicators start to show weaker-than-expected results.

This article was written by Eamonn Sheridan at www.forexlive.com.