Lori Calvasina of RBC Capital Markets on Trade Uncertainty

The video discusses the impact of tariffs on stock forecasts and earnings expectations, highlighting a general complacency around trade wars. It analyzes the disparity between earnings and revenue beats, attributing it to cost controls and tax rates. The discussion also covers market positioning, investor sentiment, and sector recommendations amidst trade and political risks.

What is a potential consequence of escalating tariffs according to the discussion?

• Higher consumer demand

• Downward revisions to earnings expectations

• Improved international relations

• Increased stock prices

How are companies managing through the current tariff regime?

• By increasing employee wages

• By reducing production

• By raising prices and implementing cost controls

• By expanding into new markets

What has been a significant contributor to earnings in the recent quarter?

• Increased marketing expenses

• Reduced production costs

• Higher labor costs

• Lower tax rates

What is the term used to describe the recent rapid increase in stock market prices?

• Recession

• Melt up

• Bear market

• Market correction

What is the current sentiment among retail investors according to the discussion?

• Highly optimistic

• Indifferent

• Extraordinarily complacent

• Extremely pessimistic

Which sector is considered attractive due to its defensive nature and low valuation?

• Real estate

• Healthcare

• Consumer staples

• Technology

Why is the TMT sector considered risky at the moment?

• Due to regulatory changes

• Because of low consumer demand

• Because of increased competition

• Due to high valuation and trade jitters