Is Brexit Impacting U.S. and U.K. Trade?

The video discusses the economic implications of the US-UK trade relationship, highlighting the negligible impact of reduced exports to the UK. It emphasizes the importance of financial assets and potential contagion from the EU. The discussion includes the effects of lower US rates, a stronger dollar, and wider credit spreads on growth. The video also explores the economic cycle, recession probabilities, and the flattening yield curve. It compares dividend yields with bond yields, noting a structural shift in their relationship. Finally, it examines US equities, buybacks, and the performance of high dividend stocks.

What is one of the key factors contributing to the widening trade deficit according to RDQ economics?

• Decreased exports to the UK

• Increased imports from China

• Rising oil prices

• Higher domestic consumption

What is a potential consequence of the flattening yield curve discussed in the video?

• A potential recession

• Stronger economic growth

• Increased inflation

• Higher interest rates

Which trend is highlighted as slowing in the discussion about the economic cycle?

• Export growth

• Corporate profitability

• Consumer spending

• Government investment

What structural shift is mentioned in the relationship between dividend yields and bond yields?

• Dividend yields have no relation to bond yields

• Bond yields are relatively lower than dividend yields

• Dividend yields are lower than bond yields

• Bond yields are higher than dividend yields

Which sector is noted for its outperformance despite lower buyback yields?

• Healthcare

• Financials

• Utilities

• Technology