2020 has been a difficult year for the British economy due to the fallout of the pandemic and Brexit. Yet, despite this there has been a limited recovery with the GBP/USD pair recently climbing above 1.2900 and reaching 1.2942. This was mostly spurred by encouraging UK data, a renewed risk-appetite, and the dollar’s weakness. Yet […]
In February’s edition of Currency Outlook – HSBC’s top FX publication – we can find bank’s GBP forecast 2020. According to HSBC’s views, GBP-USD should rally to 1.45 by year-end. Here’s an extract from the report: GBP: Theory of relativity “We expected the political certainty provided by December 2019’s clear election result in the UK […]
Let’s take a look at J.P.Morgan’s house views explained in US Equity Market Outlook 2020, which was published in December 2019 – before all fears caused by Coronavirus started to influence the markets. Extract from the report: “In 2019 the market faced two key headwinds, drag from tighter monetary policy and a substantial increase in […]
Credit Agricole investment bank’s analysts presenting their views and forecasts for the year ahead in the 2020 FX Outlook. Key FX Views & Forecasts Update We expect many of the risks that plagued the global economy in 2019 to intensify in 2020. We expect global growth to be weaker, dragged down by lingering protectionist threats […]
Falling cross-border flows due to a lack of divergence between countries/regions has pushed expected FX volatility to lows. We watch China and regional credit growth for currency vol trading. Why is FX volatility so low? As the implied volatility for some currencies like EUR and AUD trade close to the lows of 2007, we thought […]
The Macro & Markets 2019-20 Outlook named “Get defensive as growth slowdown looms” from UniCredit research team.
FX Daily Snapshot from Bank of Tokyo-Mitsubishi UFJ Currency Analyst: Lee Hardman.
In this report written by HSBC strategists David Bloom and Daragh Maher you can find revised 2017 year-end forecasts for GBP/USD and EUR/GBP and expectations for 2018.
Trading view from Brent Donnelly, spot FX trader at HSBC, the author of a well-known daily FX commentary called AM/FX,
The increasing use of ETFs in EM has prompted a debate around potential bearish cascade-type liquidation once volatility returns to this asset class. We investigate this thesis and conclude that the concerns about EM ETFs are overblown.