The looming Sino-US trade war has already sent shudders through global financial markets and if it escalates much further, the fallout could be immense. But amid all the gloom, some pockets of Australian industry could benefit nicely from Chinese tariffs on US goods.
Saxo Bank's Quarterly Outlook for Q2 is here, with expert insights and trading themes from our team of strategists. Get your copy here.
Q2 Outlook: Can the centre hold?
In a world moving quickly towards nationalism and anti-globalisation, the biggest loser will be the region that benefited the most from the big peace dividend of the Berlin Wall coming down: Europe, and Germany in particular.
Q2 Outlook: You can't fight gravity
The global policy panic seen in Q1 saw the world unable to escape its QE dependence, with central banks pivoting to a degree of support that will remain in place until structural failure. The “QE for life” era, though, holds some implications of its own, and we see China’s gravitational pull as perhaps the key factor.
Q2 Outlook: Debt-financed spending versus rising populism
The relentless rise of populism, in all its guises, at once exposes Europe’s deep structural flaws and presents it with an imperative to reform. Modern Monetary Theory is increasingly proposed as a solution to growing inequality, but beware: it is no panacea.
Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/en-hk/legal/disclaimer/saxo-disclaimer)