Day: January 18, 2021

Global Economics

Dollar – Diversification, rotation and valuations

Media and analyst reports focussing on the scope for further US Dollar weakness and Emerging Market currency outperformance have continued to proliferate in the past month.

The consensus view is still seemingly that a Democratic administration will fuel large US twin deficits and expectations of higher domestics inflation while Fed will keep rates on hold, eroding the value of Dollar assets.Read the rest

Italy

ITALY: Minority government next?

Prime Minister Giuseppe Conte faces two key confidence votes in parliament this week as his political survival hangs by a few ballots. Following the exit of Matteo Renzi’s Italia Viva (IV) from the coalition, the PM informed President Sergio Mattarella of his intention to address Parliament and ask for a vote of confidence.Read the rest