Are we already on the wrong end of "The Art of The Deal"?

As we kick off 2025, Jeremy and Gareth discuss the impact of Donald Trump's rhetoric (and eventual actions) and the reality that destabilising the world works for Trump in two ways: his eventual arrival and "resolution" of many of these Trump-created pressures will be seen as a great "deal" for him to celebrate, and in the meantime, the disarray will lead to a flight to safety, which is (to date) the US Dollar. So Trump is exporting inflation (and pain) to the already-pressured markets of Europe, China and Japan.

Our "safe and stable" position in the UK feels slightly less safe and much less stable, with public finances in the spotlight and rising long-term yields. Jeremy suggests finding and positioning a portfolio for these markets, which he terms the Extinction Trade.

Next week, we will have UK inflation and GDP data, US inflation data, and several China statistics.

Brought to you by Progressive Equity.