US economic narrative could turn negative: JPMorgan's Kolanovic

"We see upside risks to inflation given loose financial conditions, tight labour markets, high government spending, and geopolitics - as the 1980s-2000s 'peace dividend' unwinds." Another macro risk that the strategist sees, related to risks for global trade, geopolitical developments and inflation, is the US elections in November. "Our view is that there is likely no market upside related to the US election, as the outcome is either status quo or increased uncertainty related to global trade and geopolitical/domestic tensions. Investor positioning has increased significantly and presents an increasing headwind for the market." Mr Kolanovic said bullish investors "are, to…