Trump Trade: New Market Highs Amid Uncertainty

The transcript discusses recent market outcomes perceived as negative, such as Brexit and Trump's election, yet resulting in record highs. It highlights the role of zero interest rates in supporting asset prices but inhibiting economic activity. CEO confidence is seen as a key factor for growth, with political setups influencing market returns. The discussion covers market enthusiasm, call options, and indicators like the VIX to assess overvaluation. Finally, it addresses market peaks, valuation, and the impact of interest rates on future growth.

What historical patterns are observed when Republicans control both the executive and legislative branches?

What indicators should be monitored to assess whether the market is overbought?

How does the current valuation compare to past bull market peaks?