After the news of the Federal Reserve being investigated, JPMorgan's trading department has taken a "cautious" stance on U.S. stocks

According to Jin Shi reports, JPMorgan's securities trading department stated that the recent blow to the independence of the Federal Reserve by the Trump administration poses a threat to the U.S. stock market, at least in the short term. News regarding a criminal investigation into the Federal Reserve hit the U.S. market on Sunday evening, causing stock index futures and the dollar to decline, while funds flowed into safe-haven assets like gold.

Andrew Taylor, head of global market intelligence at JPMorgan, said: "Although macro and corporate fundamentals support a tactical bullish stance, the risks to the independence of the Federal Reserve create a suppressive factor above the market, so we remain cautious in the very short term. The risks surrounding the independence of the Federal Reserve may lead to underperformance of the U.S. market in the short term."