Key Takeaways:
- 💹 Pro-growth currencies struggling in current market
- 📈 US dollar rebounding after recent decline
- 🌍 Global events affecting currency market movements
- 📊 European economic data closely monitored for potential impact
- 💼 Focus on upcoming labor market report and inflation figures in the US
- 🏦 Actions of central banks across economies being watched
- 💱 NZD expected to perform poorly compared to AUD
- 📉 Emerging market currencies experiencing mixed performance
- 📉 UBS forecasts the S&P 500 could fall another 16% before bottoming out in Q2 ’23
- 💰 Economic growth slowdown expected to continue dragging down stocks until second quarter
- 📊 Year-on-year global GDP projected to rise just 2.1% in 2023, potentially leading to recession
- 📉 Fed expected to cut rates down to 1.25% by early 2024
- 📈 Expectations of Fed pivot could lead S&P 500 to 3,900 points by end of 2023
- 💵 Pro-growth currencies facing struggles
- 📈 USD rebounded after failing to break 100 mark
- 🛑 Pause in USD decline due to global events
- 🌍 Market to monitor European economic data closely
- 💼 Focus on US labor market report and inflation figures
- 🏦 RBNZ expected to reduce policy rate by 50 basis points
- 💱 Australian Dollar favored over New Zealand Dollar
- 📉 Emerging market currencies had weak start to October
- 🇲🇽 Mexican peso strong, Israeli shekel weak amid conflict
- 💵 UBS publishes financial results quarterly in February, May, August, and November
- 🗓️ Annual report is published in March
- 🌍 Overview of UBS key facts and figures in "Quarterly reports" section
- 📅 UBS’s fiscal year is from 1st January to 31st December
Market Insights:
The currency market is currently seeing pro-growth currencies facing struggles while the US dollar has rebounded after a recent decline. Global events are playing a significant role in influencing the movements of different currencies, with a focus on European economic data and upcoming labor market reports and inflation figures in the US. Central banks’ actions across various economies are being closely watched, along with expectations for the New Zealand Dollar to perform poorly compared to the Australian Dollar.
On the stock market front, UBS forecasts a potential further decline in the S&P 500 before stabilizing in the second quarter of 2023. Economic growth slowdown is expected to continue impacting stocks, with projections of a modest rise in global GDP leading to recession. The Federal Reserve is anticipated to make rate cuts down to 1.25% by early 2024, potentially affecting market sentiment and pushing the S&P 500 to reach 3,900 points by the end of 2023. Emerging market currencies have shown mixed performance, with the Mexican peso demonstrating strength while the Israeli shekel weakens amidst conflicts.