Forex News The latest statements by representatives of the US Federal Reserve mean that we no longer forecast the next interest rate hike for June, but only another hike at the end of the year. Accordingly, we have changed our
Individueel Defined Contribution Individueel Defined Contribution (iDC) regelingen krijgen steeds meer aandacht. Dit zijn beschikbare premieregelingen waarbij de inleg vaststaat en het pensioen voor een belangrijk deel afhangt van het behaalde rendement op de beleggingen. Een individuele regeling klinkt misschien
Forex News Over the past few weeks, the EURUSD has been trading at the lower end of the range that has existed since autumn of last year and dropped temporarily below the 1.13 mark. The volatility measured over a month
Emerging markets monitor The growth deceleration in emerging markets will be much less pronounced than in DM according to our leading indicators. This growth gap in favour of EM supports a recovery in EM currencies.
Chinese Yuan
How to manage FX risks when investing in China bonds? Concerns over RMB depreciation have hindered global investors’ appetite for China bonds The key question for many investors is: “what is the best strategy to manage the RMB FX risk?”
US-Dollar, Japanese Yen, Swiss Franc During the last few weeks, the EURUSD has continued its sideways movement. Obviously, in this environment of high volatility in equity and bond markets, investors found it difficult to favor any currency. The most recent
Market outlook All CEE currencies except for the Serbian dinar gained last week. While the koruna, forint, zloty and leu benefited the most from the EURUSD development, the appreciation of the Croatian kuna seems to have been driven by strong
EUR/USD – environment continues to favor the dollar The US dollar gained additional ground in recent weeks. The drivers were both the political backdrop (Brexit, Italy's budget) and the deterioration in European economic data. In our opinion these dollar-supportive factors
Overzicht Er kunnen soms lange periodes zijn waarin de prestaties van een valuta het rendement van een portefeuille op korte termijn uithollen. Door te beleggen in een product met valutahedging kunnen beleggers dat risico mogelijk opvangen. SPDR biedt een valuta-hedged
FX market monthly review The US dollar has regained some ground in recent weeks, reaching its highest level since mid-2017. A favourable interest rate differential to the rest of the G10 appears the strongest support to the currency at the
Regional view – Asia Since the prospect of a US-China truce remains low at this point, we continue to urge investors to hedge their CNY exposure over the next 12 months.
FX market monthly review In a value rebound, the best performing G10 currencies over the past month were the Swedish krona and the pound sterling. The US dollar seems to have lost momentum despite very strong carry prospects. We maintain
Emerging market inequalities It has been a volatile summer for emerging market (EM) assets, particularly since early August. However, while all major EMs have depreciated against the USD in recent weeks, the scale of the sell-off has not been uniform.
For Third Quarter 2018 The third quarter begins with clarified monetary policy outlooks for the US, EMU, and Japan. At the end of Q2, the Federal Reserve signaled it would likely raise rates in September and December. The unwinding of
By objective and block by block Investors typically make currency-hedging decisions at the asset class rather than the portfolio level. The result can be an incomplete and even misleading perspective on the relationship between hedging strategy and portfolio objectives.
Outlook CEE currencies mostly fell last week, amid renewed tensions in Turkey and Argentina, although Friday saw some positive correction. The Hungarian forint suffered the most, while the CZK seems to have benefitted from increased expectations of additional hike(s) from
For investors who remain underallocated to EM USD-denominated sovereign bonds, this is a good time to look through the noise and rebalance. There is no denying that emerging market (EM) assets have underperformed developed market counterparts year-to-date. Reading the financial
US dollar strength looks set to persist. The US dollar DXY index hit a 14-month high last week and is now up close to 9% from its 2018 low in February. This renewed burst of strength after a steep fall
UBS House View US dollar strength looks set to persist. The US dollar DXY index hit a 14-month high last week and is now up close to 9% from its 2018 low in February. This renewed burst of strength after
Midyear Update The global trade order that has existed for decades is being disrupted. Several economic indicators are running hot (see Figure 1) even as the current U.S. expansion has begun its tenth year. Volatility is higher as some investors
Turkey is in a genuine currency crisis. The lira fell 30% over 3 days. Fundamentally speaking, the reason for the Turkish meltdown is primarily a large current account deficit (6% of GDP) and reliance on outside capital. Markets don’t care
1. US earnings strength overshadows market risks 2. The Chinese yuan looks vulnerable, but not yet a global problem 3. Idiosyncratic political risks highlight the benefits of diversification Is the Eurozone recovering its momentum? The initial GDP reading for the
If word got out that the government was intentionally devaluing the CNY to erode the US's trade competitiveness, investors would likely scramble to convert their renminbi holdings into US dollars. The Chinese yuan's slide in recent weeks versus the greenback
Overall deleveraging coming to an end Total US indebtedness has retraced since the financial crisis, with significant deleveraging in household and financial sectors. Yet the overall deleveraging process appears to be concluding. A significant increase in government borrowing will drive
