The US Fed and the European Central Bank kick the can further down the road and keep interest rates lower for longer.
US GDP growth continues to slow but a sudden recession is not on the cards. That said, the economic slowdown will lead corporate default rates to slowly move higher.
Europe has largely been shunned by investors. Some of the disruptions may start to dissipate in Q2 2019 and European equities may have a window to partly close the valuation gap to the US.
China’s economy is stabilizing as the government’s fiscal and monetary easing policies start to feed through to the economy.
US-China trade tensions are both short-term (i.e. trade imbalances) and long-term in nature (technology transfers). Politics are still worlds apart on certain topics.