Such an economic model can work wonders…as long as there is no exogenousshock to the system - and right now, there is no shortage of external shocks (e.g. energy inputs, supply chains, inflation, borrowing costs etc).
Once you apply stress to a complex system, the resulting pressure will look for a release valve - currencies being one of the obvious candidates.
But this scary pickup in FX volatility also brings a lot of potential opportunities, as not all countries sit in the very same boat.
Get started on the Smartkarma Research Network with a complimentary Preview Pass to:
Unlock all research summaries
Follow top, independent analysts
Receive personalised alerts and emails
Access Briefings, Analytics, and Events
Upgrade anytime to our paid plans for full-length research, real-time analyst discussions, and more.
Join a thriving community of 45,000+ investors, including the top global asset managers managing over $13trn in assets.