BRL to underperform its EM peers
Sep 22, 2015 23:11 pm UTC| Commentary
The deterioration of the economic and political situation in Brazil will weigh heavily on BRL, which is expected to underperform its EM peers. The executives inability to have approved the economic reforms necessary to...
NZD looks particularly vulnerable to further depreciation
Sep 22, 2015 22:41 pm UTC| Commentary
NZD looks particularly vulnerable to further depreciation as it continues to suffer from slowing Chinese growth, a weaker CNY, lower commodity prices and elevated risk aversion. Furthermore, recent Dutch Disease analysis...
Sep 22, 2015 22:34 pm UTC| Commentary
The GBP has roughly kept pace with the USD this year, and it is expected to outperform the EUR due to a significant growth differential, headwinds may finally begin to take a toll on cable over the coming year. UK economic...
Sep 22, 2015 22:19 pm UTC| Commentary
JPY will likely remain exposed to fluctuations in global risk sentiment in the short term, the focus will be on the potential for a policy reaction to slowing domestic and external growth. Japans growth disappointed...
Sep 22, 2015 22:11 pm UTC| Commentary
The US is the economy closest to begin normalizing monetary policy, supported by relatively strong growth and a robust labor market. However, it is believed that the Fed will refrain from hiking this year as uncertainty in...
Negative sentiment, although pace of MYR decline could slow
Sep 22, 2015 22:00 pm UTC| Commentary
MYR is seen as one of the most vulnerable to a further fall in oil prices and Chinas slowdown. It is also sensitive to USD and CNY movements even relative to EM Asia peers. Its high beta nature partly reflects the active...
Fiscal risks and weak growth add pressure to BRL
Sep 22, 2015 21:43 pm UTC| Commentary
Brazils economic activity continues to collapse and political commitment to push forth the necessary structural reforms remains lacking. Rising term premia due to fiscal concerns coupled with increasing market value of...