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<blockquote data-quote="Hell_Is_Like_Newark" data-source="post: 901265" data-attributes="member: 11310">Rumblings from the financial community about the possibility of stagflation (the curse of the 1970s). Note:&nbsp; I am posting this for information purposes...&nbsp; below doesn't reflect by own opinion on the subject.<a href="http://www.bloomberg.com/news/articles/2016-11-14/goldman-sees-the-possibility-of-staglation-under-trump-presidency" target="_blank">http://www.bloomberg.com/news/articles/2016-11-14/goldman-sees-the-possibility-of-staglation-under-trump-presidency</a>Faced with lingering uncertainty over Trump's policy proposals, the Goldman economists run through three different scenarios for the U.S. economy. The first is a &quot;full&quot; enactment of Trump's campaign promises with everything from increased fiscal spending to trade restrictions included. The second is a &quot;benign scenario&quot; in which only Trump's fiscal proposals are enacted. Lastly, there's an &quot;adverse scenario&quot; in which trade and immigration are curbed while the Federal Reserve grows more hawkish.During our last period, after the Saudi oil shock / embargo, the S&amp;P 500 dropped over 40%.&nbsp; More from a Seeking Alpha piece:<a href="http://seekingalpha.com/article/4008820-coming-stagflation-bust" target="_blank">http://seekingalpha.com/article/4008820-coming-stagflation-bust</a>Personally, I am staying in cash, cash equivalents, and precious metals to at least 1st quarter of next year.&nbsp; Per my financial advisor, markets are overvalued right now and will likely correct (my adviser is not nearly as pessimistic as I am).&nbsp; Given that the Republicans don't have a filibuster proof majority in the Senate, a lot of Trump's economic proposals might get gridlocked to death.&nbsp; At this point.. honestly, I have no idea what the market and the economy will do next year.</blockquote>

[QUOTE="Hell_Is_Like_Newark, post: 901265, member: 11310"] Rumblings from the financial community about the possibility of stagflation (the curse of the 1970s). Note: I am posting this for information purposes... below doesn't reflect by own opinion on the subject. [URL]http://www.bloomberg.com/news/articles/2016-11-14/goldman-sees-the-possibility-of-staglation-under-trump-presidency[/URL] [b]Faced with lingering uncertainty over Trump's policy proposals, the Goldman economists run through three different scenarios for the U.S. economy. The first is a "full" enactment of Trump's campaign promises with everything from increased fiscal spending to trade restrictions included. The second is a "benign scenario" in which only Trump's fiscal proposals are enacted. Lastly, there's an "adverse scenario" in which trade and immigration are curbed while the Federal Reserve grows more hawkish. [/b] During our last period, after the Saudi oil shock / embargo, the S&P 500 dropped over 40%. More from a Seeking Alpha piece: [URL]http://seekingalpha.com/article/4008820-coming-stagflation-bust[/URL] Personally, I am staying in cash, cash equivalents, and precious metals to at least 1st quarter of next year. Per my financial advisor, markets are overvalued right now and will likely correct (my adviser is not nearly as pessimistic as I am). Given that the Republicans don't have a filibuster proof majority in the Senate, a lot of Trump's economic proposals might get gridlocked to death. At this point.. honestly, I have no idea what the market and the economy will do next year. [/QUOTE]

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