As Dollar Slides, Equity Generalists “Are Increasingly Uncomfortable” With Reflation Trades

One week after RBC’s Charlie McElligott pointed out that the “someone is going to get hurt badly” in the upcoming clash between leveraged and real money investors in 5Y bonds, whose divergent opinions on the future of interest rates, and thus inflation, has reached record levels…

… and was was picked up overnight by Bloomberg, today the cross-asset strategist focuses on something broader, namely the creeping rotation out of consensus reflation trades, driven by “concerns surrounding Trump’s ability/willingness to implement a ‘border-adjusted tax’ system” which was at the core of much of the USD appreciation.
So is it time to finally “sell the inauguration”?

This post was published at Zero Hedge on Jan 23, 2017.