18 Jul 2013
Flash: Tapering implications - BMO
FXstreet.com (London) - Stephen Gallo, European Head of FX Strategy at BMO suggests high-level global coordination is needed to manage QE tapering risks and developing market strains.
Key Quotes:
“Versus key funding currencies such as the EUR, JPY, CHF and USD, we see reasons to be upbeat on developing markets once the QE tapering adjustment is complete”.
“ We view the Q2 instability in key Asian and other developing market currencies largely as a healthy correction away from speculative excess, and a tempering of “QE-related” capital flows”.
”US monetary policy settings have increasingly been at odds with the needs of the rest of the global economy; the advent of QE may
Key Quotes:
“Versus key funding currencies such as the EUR, JPY, CHF and USD, we see reasons to be upbeat on developing markets once the QE tapering adjustment is complete”.
“ We view the Q2 instability in key Asian and other developing market currencies largely as a healthy correction away from speculative excess, and a tempering of “QE-related” capital flows”.
”US monetary policy settings have increasingly been at odds with the needs of the rest of the global economy; the advent of QE may