Updated: January 16, 2017
If you’re betting that President-elect Trump’s economic policies will ignite corporate profits—and share prices—I have two words for you: be careful.
In a moment, I’ll show you how I’m investing in the early days of the Trump era and name 3 rare finance-sector bargains that are terrific buys now.
First, let’s look at how much things have changed (and not) since Election Day, starting with the S&P 500, which has jumped 6.0%. However, most of that came in the first month: since December 8, it’s basically gone nowhere.
“Trump Bump” Hits a Wall
That leaves the market trading around 17.1 times forward earnings, according to FactSet, well above the five-year average of 15.1 and the 10-year average of 14.4.…