Are downside risks growing for US equities?

GSAM's Andrew Wilson, EMEA CEO and global co-head of fixed income, takes a closer look at reasons to be concerned about the US market.

The US offers the strongest economic and corporate fundamentals of any regional market, underpinned by generally benign credit conditions, rising house prices and unemployment below 5%. Where other regions face myriad immediate challenges - a strong yen in Japan, continued political and economic worries in the eurozone and the developing situation around Brexit - the US represents stability in some respects.   This is likely to attract asset flows, bolstering near-term equity performance. One area of the US equity market we like is banks. Many bank stock prices have been held back by ...