Societe Generale's Benzimra on Global Markets

The video discusses recent changes in the Fed fund rate market, including expected cuts and yield curve steepening. It explores the implications for asset allocation, favoring US Treasury over equity. The Fed's actions are seen as avoiding a financial crisis but not guaranteeing inflation decline. The debate on interest rate hikes and the potential end of the tightening cycle is highlighted. The impact on Asia equity strategy, particularly concerning the banking sector and US dollar, is examined. The strategy for reducing dollar portfolio exposure is also discussed, considering US growth projections.

What significant change is occurring in the Fed fund rate market?

• A decrease in inflation

• A flattening of the yield curve

• A steepening of the yield curve

• An increase in interest rates

According to Ben Emmons, what has the Fed's action avoided?

• A recession

• A financial crisis

• An increase in inflation

• A decrease in interest rates

What is the current stance of the Fed according to recent signals?

• Ending the tightening cycle

• Reducing interest rates

• Increasing inflation

• Continuing in a tightening mode

What is the outlook for Asia equity strategy given recent events?

• Neutral with no changes

• Cautious with limited upside

• Optimistic with high upside

• Pessimistic with high downside

What strategy has been gradually implemented regarding the dollar portfolio?

• Reducing dollar exposure

• Switching to Euro exposure

• Increasing dollar exposure

• Maintaining current dollar exposure