El-Erian Says Time Will Come to ‘Fade’ on U.S., But ‘Not Now’

The video discusses the market's response to geopolitical tensions, particularly focusing on the US's role in deterring Iranian aggression. It highlights the market's muted reaction to such events due to conditioning over time. The discussion then shifts to the balance between short-term market momentum and medium-term uncertainties, emphasizing the need for investors to be cautious. Finally, it outlines investment strategies for 2020, advocating for maintaining upside potential while protecting against downside risks, with a focus on the US market's resilience.

What are the two extremes mentioned in the context of market reactions?

What is the significance of the September events mentioned in the text?

How do investors perceive the current market conditions according to the text?

What are the two main strategies suggested for capital allocation?

Why does the speaker believe it is not the right time to fade the US market?