FX.co ★ JPMorgan: Surprises which the year 2017 can bring
JPMorgan: Surprises which the year 2017 can bring
In 2017 the world will wait for the elections in France and Netherlands. The experts forecast the growth of Italy. Besides, in the coming year Trump will move to the White House, and the 50th article will be started up in Great Britain.
According to the events of the previous year the investment manager of JPMorgan Asset Management Bob Michele said what ways of the global economic development could happen to be in 2017.
The FRS's raising rates sixfold
Two weeks ago the FRS raised the interest rate for the second time after the financial crisis. Michele supposes that there will be more than six rate increases in 2017, considering the fact that the U.S. economy doesn't lose momentum.
Oil at $75
The investment manager puts an emphasis on the fact that oil prices are similar to a rollercoaster as during the last two and a half years the oil price decreased from one hundred dollars per a barrel to the mark of $25 and then increased to $50. According to the econimist, in 2017 the price of $75 is expected.
The euro growth against the US dollar
The euro hits a 13-year low against the US dollar. Michele considers that in 2017 the EU currency has all chances to rise against the dollar for a minimum of 15%.
The perspective investments in debt securities
A reader can consider it as lossmaking. The question is about debt securities of the developing countries. As their debt market has been downtrodden for the last time because of a range of the factors, nowadays more stable times are to come. According to Michele, in spite of inconformity of the pre-election declamation, Trump's market politicy supposes quite balanced steps that will lead to positive changes in the devoloping markets.
High yield of treasury bonds
Almost straight after Trump's winning treasury bonds went up in price by more than 2.5% that hadn't been noticed since 2014. Michele forecasts more intensive growth for 2017, seeng that many investors try to protect their bond purchase which came to the end of the financial crisis.
