Advisors handicap the brewing battle between Trump and Powell
ARTICLE SUMMARY
Christian Salomone, CIO of Ballast Rock Private Wealth emphasized the importance of Federal Reserve independence, stating, "an independent Federal Reserve is essential for a healthy US economy" and that monetary policy should be "based on hard economic data rather than political pressures."
On market volatility, he observed, "investors abhor uncertainty, whether it stems from trade policy, tariffs, or, particularly, politically motivated monetary decisions aimed at undermining our independent central bank."
Regarding investment strategy, Salomone recommended "gaining broad equity market exposure through buffered ETFs, which provide protection against market sell-offs in exchange for some potential upside sacrifice during rallies."
In response to economic concerns, Salomone noted he "has increased his exposure to global equities" and "shortened the duration of his bond holdings to reduce sensitivity to the significant interest rate movements we've seen in the long end of the US Treasury curve."