Fx Thoughts : Exit The Stallion With Thundersnow
The Year of the Horse ended under a cloud of uncertainty culminating in the FOMC’s reticent minutes 2 nights ago that signals a long wait for any rate hikes in the months ahead.
The outlook has become quite straightforward if we ignore the thunder – no central bank will be raising rates anytime soon and currency trading is the new rage in the world as stock and bond markets approach peak valuations. And all respectable market analyst who is gainfully employed in a bank will keep mum on the “currency war” word.
Table of rate cuts so far, excluding all the currency un-pegs and other liquidity stimulus programmes.