HSBC Strategist: US Exceptionalism May End in August

Max Kettner, HSBC's chief multi-asset strategist, stated that US economic exceptionalism could come to an end in August. Kettner indicated that investors should increasingly turn to the European story during this period. According to a Bloomberg-sourced report, the strategist believes the outperformance of US markets is running out of time. Kettner emphasized that the US's leading position in the global economy is temporary and that investors should diversify their portfolios. He noted that European assets may offer more attractive opportunities under current market conditions. The HSBC strategist expressed that US exceptionalism could persist until August, but expects a rebalancing in global markets after that date. This view could prompt investors to reassess their risk appetite and asset allocation. This is not investment advice.