“The China thing is going to be with us for a while,” said Mills, referring to a new round of tariffs both countries slapped on each other last week. “You do have to pay attention to the fact that trade fears will stay with us. So expectations have to be muted to a degree.”
“I think that the fundamental earnings story does win out over time,” he added, noting that the S&P is up 6 percent so far this year. According to Mills, it’s a number that should be embraced, not criticized.
“The key there is looking ahead to the numbers in Q3, Q4 and then in 2019,” Mills said. “We haven’t seen any degradation in those forecasts yet. I think as long as that’s the case, the market is going to have some solid foundation underneath it.”