Since President Trump took office on Jan. 20, 2025, the U.S. has been the worst performing stock market of the entire G7. While Trump likes to shoot from the hip when it comes to economic policy, investors in U.S. assets, it seems, do not appreciate this approach. The uncertainty created by further tariffs is also creating a headache for firms who are trying to figure out how their supply chains are going to be impacted, and to what extent higher costs will reduce their competitiveness, thereby negatively impacting their share prices. Exhibit 1: Performance of G7 stock markets One way

Wall Street is finally waking up to the reality in Washington. The S&P 500 Index fell 1.8 percent on Wednesday in the most notable reversal to the so-called Trump rally since last year’s U.S. election. Stockholders nevertheless remain too optimistic about any policy uplift. The promise of relaxed regulation, corporate tax cuts and investment in America’s crumbling roads and bridges under President Donald Trump and a Republican Congress has excited investors for most of the past six months. Clinging to that cheery outlook required overlooking a plethora of warning signals, not least the daily dysfunction in the nation’s capital and