AUD should be supported, GBP expected to be the worst currency – UBS
|Economists at UBS update their forecast for the likes of the Swiss Franc, the British Pound and the Australian Dollar.
Weak growth outlook and still-high inflation to weigh on Sterling
“We move the Swiss Franc down to Neutral after strong gains versus the US Dollar. Nevertheless, we believe the Swiss National Bank is committed to preserving Franc's strength to limit imported inflation, and that the currency will be supported by safe-haven flows.”
“In the UK, the weak growth outlook and still-high inflation are likely to weigh on Sterling, and we maintain our Least Preferred view.”
“We like the Australian Dollar, which should be supported by China’s reopening, relatively strong domestic economic growth, and a central bank that is likely to keep the reins tight when the Federal Reserve is starting to ease monetary conditions.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.