Market Update - June 2018

Investors remained on edge in May amid political upheaval in Europe and escalating trade tensions, which remained at odds with a constructive global economic backdrop. Following a lack of progress on trade negotiations, the Trump administration announced that it would go ahead with tariffs on $50 billion of Chinese goods and pressed forward with steel and aluminum tariffs for Canada, Mexico, and the European Union. And after several months of gridlock, the anti-establishment Five Star and League coalition managed to scrape together a new Italian government with a “Eurozone committed” finance minister – though political differences are certain to test the future of the euro.