Risk sentiment is on a stronger footing today after some key US politicians pushed back against President Trump’s tariff proposals. In today’s note we flagup an interesting call held by Hedgeye that featured one of the US’s most experienced trade negotiators to get an inside take on where this all might be headed and the consequences. This presents risks to US equities, and so we revisit the relationship between equities and bonds with Capital Markets Outlook Group, who argue that the front end of the US Treasury curve may present an effective hedge against equity risk. Macro Risk Advisors provide a useful note on the rising US equity risk premium, and look to longer-term volatility for signs that the premium has reached a new equilibrium, while Quant Insight’s models suggest Japanese equities are being undervalued, both on a standalone basis and against the S&P500. Lastly we highlight a very non-consensus call on Brazilian equities from Credit Suisse.