Sticking to fundamentals

The fourth quarter has been challenging for market forecasters because risk appetite has been increasingly fickle as year-end approaches. In such a tricky environment, where markets have traded 'risk-on/risk-off' on a daily or even an intraday basis, it would have been tempting for some to change their view and opt for a more cautious approach on the US dollar.

We, at Standard Chartered, have kept firmly to our weak dollar view into year-end for two reasons:

Firstly, we stuck to the fundamentals

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