FX Market Pricing in Done Deal for U.S.-China Trade, Gkionakis Says

The video discusses the dynamics of the international economy, focusing on the trends in emerging market currencies and the impact of the US-China trade deal. It highlights the relaxed view of FX markets and the potential outcomes for the yuan and dollar. The discussion extends to European trade issues and political risks, emphasizing the politicization of trade topics. The market's pricing of a potential US-China deal is analyzed, with a high probability of resolution assumed.

What is the general view of the foreign exchange market regarding the US-China trade deal?

• The market is pessimistic about a deal.

• The market is indifferent to the trade deal.

• The market expects a deal to be resolved soon.

• The market believes the deal will never happen.

What is the expected trend for the yuan if a US-China trade settlement is reached?

• The yuan will remain stable.

• The yuan will become highly volatile.

• The yuan is expected to weaken significantly.

• The yuan is expected to strengthen.

How might Europe be affected if the US-China trade standoff continues?

• Europe will remain unaffected.

• Europe will face increased scrutiny from the US.

• Europe will see a decrease in exports.

• Europe will benefit from increased trade with China.

What is the current market assumption about President Trump's stance on the trade deal?

• He is eager to finalize a deal.

• He is not interested in a deal.

• He is indifferent to the trade deal.

• He is focused on other international issues.

What is the market's estimated probability of a US-China trade deal being reached?

• 50%

• 70%

• 90%

• 100%