Bank of America Merrill Lynch says.. In a note published last year we analyzed the impact of cross-border M&A activity on currency markets. We concluded that the impact of M&A is a far more pervasive driver for FX via th…
In a note published last year we analyzed the impact of cross-border M&A activity on currency markets.
We concluded that the impact of M&A is a far more pervasive driver for FX via the FDI channel rather than via the announcement effect.
The analysis was particularly relevant at the time against the backdrop of the emerging trend of policy and growth divergence.
These divergences have grown since then, as 2015 has become the year of the central bank policy surprise.
For FX markets, such divergences have inevitably led to focus on the capital flow channel as a key driver for FX markets.
As our Global Fund Manager Survey has highlighted in recent months, the investment community has traded this divergence consistently since the start of the year against the backdrop of US growth outperformance, and subsequently, ECB QE.
Gold prices edged lower on Monday as stronger-than-expected U.S. nonfarm payrolls data dampened hopes for aggressive Federal Reserve rate cuts, bolstering the dollar. Spot gold slipped 0.1% to $2,686.32 an ounce, while F…
On-chain data shows BTC whales moved 10000 BTC from Crypto exchanges. This indicate accumulation of BTC by whales. Japanese public company Metaplanet buys another 1 billion yen worth of Bitcoin. According to Santiment, t…
Personal income increased by 0.2% month over month In August, which was less than the 0.4% market forecast and less than the 0.3% growth in July. For the third consecutive month, real personal disposable income increased…
