Asks if she shares the dire view that without resolution in 7-10 days, we face a pandemic-style shutdown.
Dani Burger
Raeann Mitroyani
Risks are rising but not that dire. The US is more insulated as an energy exporter, but traffic needs to resume through Hormuz.
Asks how to price higher oil into growth and earnings, given Goldman's inflation warning.
Matt Miller
Raeann Mitroyani
Impact depends on duration. If resolved, oil could normalize. Elevated prices mean likely no Fed rate cuts, maybe a hike, which removes market support. Spending could pull back in other areas.
Asks where opportunities are to buy undervalued assets.
Matt Miller
Raeann Mitroyani
Valuations have come down. Most attractive are in small caps, mid-caps, and EM, which are in line with historical averages. Large-cap P/E has dropped from 23 to 19.5.
Asks if unusual trading and volatility make it harder to jump into the market.
Dani Burger
Raeann Mitroyani
You need a long-term perspective and comfort with volatility. Headlines move markets short-term, but long-term prices revert to earnings. Ensure appropriate risk in the portfolio as we could go lower.