With the US indices (Dow and S&P) scaling all time highs, the Trump presidency has led to a surprisingly positive outcome for the equity markets. In a recent seminar, I was going through the US market outlook and i summed it up through the following points:

1) Valuation

2) Quantitative Easing Ended
3) Trumpnomics
4) Debt Levels
5) Monetary Policies
6) Global Economic Conditions
7) Technical Charts 


Firstly, valuation of the S&P index is at the higher end of their recent range (2006 to 2016) and their PE is around 22 at the moment. We are actually not far off from the high (PE:24) during the Lehman crisis in 2008. Looking at the Price to Book Ratio, we are near 3 which was last registered in 2008 before the huge crash. Last but not least, looking at the Cyclically Adjusted Price Earnings Ratio which could smooth out outliers, we are at …