Trade tensions between the U.S. and China escalated on September 5^th as an additional $300 Billion of goods from China were added to the list. China and the U.S. agreed to hold another round of trade talks in Washington D.C. in early October. According to a Beijing based media company, Caixin (August 26 ,2019), China’s top trade negotiator, Vice Premier Liu, called for calm amid the recent escalation in the trade tensions and further went on to say that China is opposed to a trade war with the U.S. Short term pain for long term gain seems to be the path we are on. One thing is for sure, the market appears to be range bound as a result as if waiting to see how trade talks between the U.S. and China unfold.

In the meantime, the Federal Reserve has reversed course and on July 24^th cut interest rates by .25% for the first time since the 2008 crisis. In a news conference following this decisions, Fed Chair Jerome Powell said, “the cut was intended to ensure against downside risks from weak global growth and trade tensions.”

With rising trade tensions and a slowing global economy, U.S. based low volatility dividend paying equites should fare better than many other asset classes during these uncertain times. Amid this changing landscape, a review of your portfolio is warranted and a possible change to your investment strategy may be prudent and wise.

Any opinions are those of J. Greg Garner and not necessarily those of RJFS or Raymond James. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. There is no assurance any of the trends mentioned will continue or forecasts will occur. The information has been obtained from sources considered to be reliable, but Raymond James does not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Asset allocation and diversification do not guarantee a profit nor protect against a loss.