Nevertheless, market sentiment remains supported by president Donald Trump’s potential plans on tax reform and fiscal stimulus, which will help maintain growth in 2017, despite his protectionist stance.
Economists expect U.S. growth to range from 1.7% to 2.9%.
“We’re still reasonably positive on the market,” Graeme Bencke, fund manager at PineBridge Investments, told the Wall Street Journal. “Short-term actions the administration can take should be relatively market-friendly,” Bencke added, pointing to policies such as reducing taxes and regulation.
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