JPMorgan's trading division adopts a "cautious" stance on U.S. stocks after news of a Federal Reserve investigation emerges
According to Odaily, JPMorgan's securities trading division stated that the Trump administration's recent impact on the Federal Reserve's independence poses at least a short-term threat to the U.S. stock market. News of the Federal Reserve facing a criminal investigation hit the U.S. market on Sunday night, causing stock index futures and the dollar to fall, while funds flowed into safe-haven assets such as gold. Andrew Tyler, Head of Global Market Intelligence at JPMorgan, said: "Although macro and corporate fundamentals support a tactical bullish stance, risks to the Federal Reserve's independence have become a suppressing factor for the market's upside, so we remain cautious in the very short term. Risks surrounding the independence of the Federal Reserve may cause the U.S. market to underperform in the short term." (Golden Ten Data)
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