BofAML's Garg Sees Yuan Weakening Against the Dollar

The video discusses the negative correlation between emerging markets and the dollar, highlighting the impact of trade tensions on currencies. It examines the potential benefits for North Asian currencies and the uncertainty surrounding US-China trade negotiations. The discussion also covers the influence of US-Mexico trade talks and Brexit on global markets, with a focus on key currency levels.

What is the relationship between emerging market stocks and the dollar?

• No correlation

• Negative correlation

• Positive correlation

• Direct correlation

Which currencies are expected to benefit the most if trade tensions ease?

• European currencies

• North Asian currencies and INR, SGD

• African currencies

• South Asian currencies

What is the forecast for the Chinese Yuan against the dollar by year-end?

• 6.95

• 7.10

• 7.00

• 6.80

What is a critical level to watch for the Euro-Dollar pair?

• 1.10

• 1.12

• 1.15

• 1.18

What role does the PBOC play in managing the CNY?

• Encouraging CNY volatility

• Counterbalancing CNY weakness

• Promoting CNY strength

• Ignoring CNY fluctuations