Global Equity Market Trends and USD Outlook: Credit Agricole's Forecast for Month-End Fixing

Tuesday, 26 March 2024, 19:13

Credit Agricole's analysis suggests a trend of moderate USD selling during the month-end fixing, driven by global equity market performance. Despite the USD's strength, signals point towards potential selling pressure against currencies like the SEK. Investors should align their strategies with these projected shifts for month-end portfolio rebalancing.
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Global Equity Market Trends and USD Outlook: Credit Agricole's Forecast for Month-End Fixing

Global Equity Market Performance:

Equity markets have seen increases globally throughout March, influencing currency movements and portfolio rebalancing strategies.

USD's Position:

Despite its general firmness throughout the month, the USD is anticipated to face selling pressure in the context of month-end adjustments.

Specific Signals:

The analysis identifies a particularly strong signal for USD selling against the Swedish Krona (SEK), highlighting it as a standout among G10 currencies for potential rebalancing flows.

Conclusion:

Credit Agricole's model points towards a scenario of mild USD selling across various currencies as part of month-end portfolio rebalancing, with a notable emphasis on the USD/SEK pair. Investors and market participants may anticipate adjustments reflecting these predicted shifts, aligning their strategies with the expected currency movements at month's end.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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