The models are broken
The market is trying to get back to the pre-Covid and pre-war times, but that model is broken. A new dawn is here and the financial world needs to adapt.
Steen Jakobsen,
Chief Investment Officer
Head of FX Strategy
Summary: The market is pricing a dovish FOMC outcome today, though Powell and company may save the fireworks at the June meeting. Elsewhere, sterling is resurgent despite the ongoing Brexit fog.