No lessons learnt from Brexit, broader markets remains risk-off - Oanda

Nov 09, 2016, 12:20 PM

“No one learnt any lesson from Brexit, you can’t get carried away by just a couple of polls”, says Craig Erlam, Senior Market Analyst at Oanda while talking about the similarities between the market action seen in the run up to Brexit and during the run up to the US Presidential elections.

Erlam sheds light on the overnight risk-off action in the financial markets and says Trump’s stimulus talk has soothed the markets for now, but things could take the ugly turn if there are trade wars with China and other nations in the future.

“The broader market remains risk averse, despite the recovery in the USD/JPY pair, suggesting some return of the risk appetite”, says Erlam and concludes the segment by stating the focus now is also on the Fed. The segment is hosted by Tip TV’s Zak Mir.

Watch this segment to know if the markets are likely to mimic the post Brexit moves.

#US elections, #Trump, #politics, #markets, #risk-off, #USD/JPY, #US dollar, #forex, #currencies, #trading, #Fed, #central banks, #fiscal stimulus