Politics Over Macro 'New Norm' for Currencies, Says BofA's Sharma

The video discusses the impact of geopolitical events on currency markets, highlighting unexpected swings in currencies like the Canadian dollar and the influence of political events such as Brexit and trade wars. It examines how markets have adapted to these changes, with central banks like New Zealand's RBNZ adjusting their strategies. Historical events like the Lehman crash and Ukraine crisis are reviewed for their currency impacts. The video also explores the challenges faced by emerging markets and the role of investment sentiment in current market dynamics.

What unexpected event caused a significant change in the Canadian dollar?

• A natural disaster

• A geopolitical event

• A change in interest rates

• A technological advancement

Which political event is mentioned as influencing the British pound?

• Brexit

• The US presidential election

• The French presidential election

• The German federal election

What is the new trend in currency trading according to the video?

• Trading based on technological advancements

• Trading based on political factors

• Trading based on natural disasters

• Trading based on sports events

What was a recent geopolitical development affecting the ruble?

• A natural disaster

• An escalation of sanctions

• A technological breakthrough

• A new trade agreement

How have central banks reacted to geopolitical tensions?

• By reducing trade barriers

• By introducing new currencies

• By increasing interest rates

• By delaying rate hikes