Warnings by entering US shares in a falling market for two years

Wall Street’s strategic analyst warnings are increasing about the oppressive expectations of shares under President Donald Trump’s commercial war. The strategies of the Black Rock Company, Jean Bouavin and Wy Lee, on Monday reduced their classification of US stocks from ‘extra weight’ to ‘neutral’ for the next three months, declaring the step as ‘the biggest pressure on high -risk assets in the short term due to the major escalation of global trading tensions.’ Meanwhile, the team said strategic analysts in the Goldman Sachs squad, including Peter Openhaimer and Laila Betavin, that the wave of selling US stocks could change in a longer time amid the escalation of the recession. US stock losses are exposed to various international indicators of technically included in the definition of the falling market, including the “Standard & Poor’s 500” index, which briefly dropped by 20% below the standard level it recorded less than two months ago. Strategic analysts at Goldman Sachs said that periodic partial stock markets usually last about two years and take about five years to return to a point from the beginning, as opposed to the sudden shocks due to individual events, this situation is a product of the economic cycle. Nevertheless, they said that the current sale wave is classified as a falling market caused by specific events, explaining that the stocks tend to take declines with an average of 30% in both types of falling market, but “the difference lies in the period as the declines arising from the short time events and are characterized by faster recovery.” The increasing possibility of US recession, Goldman Sachs economists, has increased the possibility of recession in the United States to 45%, and the bank’s strategic team joined a number of other Wall Street analysts to reduce their targets of the Standard & Poor’s 500 index. Black Rock CEO Larry Fink said most CEOs who talk to them believe that the United States have already entered into a recession. At the same time, traders have strengthened their bets that federal reserve will lower interest rates amid the fear that US administration’s trade policy will cause global economic shrinkage. There are no immediate risks. The strategists in the “Fink” research arm have so far said that they have increased their awards in the US Treasury effects in the short term that can benefit from the transformation to safe assets in times of turmoil and uncertainty. “The completion of international worms and bilateral negotiations with the United States will take time, which is difficult to predict the date of the settlement of this situation and how … the great destruction caused by wealth can weaken morale and consumer spending.” Most analysts and investors have so far not seen immediate risks to the global financial system, despite the approach of the worldwide stock losses of $ 10 trillion over the past three days. However, they point to increasing signs of tension due to the decline of economic prospects, including the stopping of corporate debt and jumping markets in an indication of the risk of paying off.