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U.S. fund managers brace for trade war with focus on pricing power

From reuters.com

Investors’ fears of an all-out trade war between the United States and China is prompting U.S. stock fund managers to hunt for companies that can easily pass on higher costs to their consumers. So far, domestic small-to-mid-cap companies that get most of their revenues at home have weathered prospects of higher trade costs the best, with the Russell 2000 index of smaller companies up 2.8 percent for the year, nearly double the 1.5 percent gain in the larger-cap and more internationally-exposed S&P 500 index over the same time. Yet fund managers from firms including Villere & Co, Hodges Capital and BMO Global Asset ... (full story)

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  • Category: Fundamental Analysis