Will US GDP growth hit lift off under Trump?

Comments from Legg Mason subsidiary ClearBridge

President Trump's proposed programme of deregulation and tax reform could power US economic growth to its highest level in years, says Peter Bourbeau, manager of the $452m Legg Mason ClearBridge US Large Cap Growth fund.

Bourbeau, who co-manages the fund with Margaret Vitrano, said Trump's (pitured) range of mooted policies could - if successfully enacted - jumpstart the US expansion, with a particular emphasis on cyclical stocks, which have been out of favour.  "Should fiscal stimulus, tax reform and a looser regulatory environment become reality, economic growth has the potential to accelerate to levels that we have not seen in 20 years," he said. "Such an event should benefit all sectors with cyclical stocks continuing to do well."  US GDP was consistently above 6% between 1996 and 2000, and althou...