JERUSALEM, November 11, 2016 /PRNewswire/ --
Interest rate rise of 1% in 2017
Zev Marynberg, the President of the Adar Macro hedge fund from Adar Capital Partners, believes that Trump will be very positive for Israel, since Obama's Democratic government tended to interfere in its internal affairs in an inappropriate way. With Trump, says Marynberg, Israel will enjoy more freedom of movement to pursue its own economic policy.
Adar Capital Partners expects that with the arrival of Donald Trump as US President, interest rates will go up 0.25% in the short term to reach 1.75% in 2017.
In the opinion of Zev Marynberg, Trump will concentrate mainly on developing the US domestic economy, strengthening infrastructure and making use of fiscal policy, which will result in higher rates in the medium term set against a fear of increased inflation, which will affect the behaviour of the Fed and central banks.
Marynberg says the future President Trump has an initial advantage over Obama insomuch as he has a better understanding of the dynamics of the economy and enjoys the broad political support of both legislative chambers. However, as there are many asset bubbles and starting from negative interest rates, the market will make some moderate corrections during the first months of 2017.
The President of Adar Capital also believes that new technologies and the widespread use of the internet will lead to growing volatility in the taking of investment decisions. The media and opinion polls are no longer good predictors of who will win a vote, as we have seen in Brexit, in Colombia and now in the United States. Consequently, investment decisions will also continue to be taken at the last moment.
About Adar Capital Partners
Adar Capital Partners Ltd. ("ACP") provides investment advice to institutional investors, family offices and private investment funds. The Adar Macro Fund, ACP's primary fund manages assets in excess of $1 Billion USD. Led by the fund's founder and CIO, Zev Marynberg, Adar has developed a very successful investment strategy and historical track record with a main focus on Latin American and European financial markets. http://www.adarcapitalpartners.com
SOURCE Adar Capital Partners Ltd.