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Don't expect the market to love Trump's refugee ban

Richard Drew/AP

So far stock markets have cheered the Trump Administration, but that may come to an end Monday, following controversy over President Trump's ban of refugees from seven Muslim-majority nations.

David Kotok, chairman and chief investment officer of Cumberland Advisors, told Reuters late Saturday:

"I don't see how markets could look on this favorably. International tensions are raised. Obstacles to peaceful exchanges are abruptly announced. And litigation commences."

He argued that the run up in stock prices since election day means means that for "current market prices to be justified, the Trump agenda must unfold perfectly," referring to profit-boosting deregulation and tax cut initiatives.