Please join Head of CoreMacro, Arthur Budaghyan, for a Webcast.
Friday, August 21
9:00 AM HKT
Arthur will discuss:
- Global currency markets are on the edge: the US dollar will become pro-cyclical, and the euro will become counter-cyclical.
- This regime shift would upend financial market correlations, and most investment portfolios are not positioned for it.
- The main driver of currency markets will change from interest rates to the balance of payments.
- The dollar’s dependence on net foreign flows into US equities is far greater today than ever.
- A low bar for US dollar depreciation: No net capital outflows necessary — just smaller inflows.
- A weaker US dollar will be deflationary, not reflationary, for the rest of the world.
- EM stocks will not rally in absolute terms despite a weak US dollar.
- Which asset classes and regions will perform the best during this US dollar devaluation?