U.S.-China Trade War Will Go on for Some Time, Says UBS' Tay

The video discusses the ongoing trade tensions between the US and China, highlighting the lack of expected improvements in relations. It analyzes the performance of global equities, particularly US equities, during periods of political gridlock. The video also explores the strategy behind investing in 10-year treasuries, considering potential rate hikes and economic slowdowns in the US and Europe.

What is the expected outcome of the trade relations between the US and China according to the speaker?

• Continued tensions with no improvement

• Complete breakdown of relations

• Immediate resolution

• Improvement in the next few weeks

Why do US equities tend to perform well during times of political gridlock in Congress?

• Increased government spending

• Stable fiscal policies

• Higher interest rates

• Political paralysis leads to market stability

What percentage of global equities is made up by US equities?

• 30%

• 50%

• 90%

• 70%

What is the reason behind the short-term trade in 10-year US treasuries?

• Strong global economic growth

• High inflation rates

• Expectation of rate cuts

• Overreaction in the market

What might cause the Federal Reserve to pause rate hikes next year?

• Decrease in unemployment

• Trade war escalation

• Rapid economic growth

• Increase in consumer spending