The global FX outlook is rapidly losing clarity without certainty of the outcome of multiple key developments. The market’s prior trends that have lasted through quarters, and is some case years are in doubt. To start, the outcome of Brexit is increasingly a possible no-deal, Crude is now in a bear market, the Trade War has a new wrinkle thanks to US VP Pence, Fed Pricing in 2019 is showing Powell yielding to upcoming risks, and most recently, the golden child of corporate debt known as Investment Grade is seen by a few celebrity hedge fund managers as ground zero for the next source of unexpected losses. These are the key themes that we explain with a key market to watch uncovered at the end for you to watch as a gauge to see if any of the events are playing out as feared.
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