Honeymoon over for Trump as investors demand results

Market rally falters

Fund managers have been warning for some time that investors should be prepared for market pullbacks this year, as fears intensify US President Donald Trump will be unable to deliver on his pro-growth policy agenda as quickly as hoped.

Last week saw the end of the honeymoon period for the new President in terms of the market response, with the S&P 500 suffering its worst trading day since the US Election last November. The index only fell 1.2% but this meant it broke its longest run of closes without a 1% drop since 1995. Further reality checks are now likely as investors grow increasingly concerned President Trump will struggle to get some of his policies through Congress, such as the repeal of Obamacare which could delay other plans.   Fund managers flagged soon after Trump's election victory that some of his poli...