The path forward for stocks and other risk assets will continue to be rocky and could drag on as the political uncertainty in the U.K. and E.U. drags on. “Stocks have entered a new realm of volatility, unlikely to abate anytime soon,” Gina Martin Adams, equity strategist at Wells Fargo Securities told clients. “Better get used to it. Last week’s British vote to leave the E.U. appears to have opened a door of extended uncertainty in Europe … resulting in a near-term outlook for ‘risk-off’ strategies (or defensive investments like bonds and gold) to continue to perform” well.
More uncertainty on top of increased risk and volatility. Welcome to the postnormal.
from Stowe Boyd http://www.stoweboyd.com/post/146598886867
