Some tweaks to our views on equities and currencies

Resilience in much of the global economic data of late has raised questions over whether the recessions we expect in most developed markets (DMs) will materialise later than we had initially thought. As such, we now forecast most “risky” assets will reach a trough at the end of this year, a bit later than previously envisaged. We have pushed back the rebound we anticipate in the US dollar too, for similar reasons.

In view of the wider interest we are also sending this Asset Allocation Update to clients of our FX Markets and Global Markets Services.