Why RBC's Lignos Likes U.S. Dollar-Peso Trade

The transcript discusses the impact of interest rate divergence and trade disputes on market strategies, focusing on the PBOC's interventions and signals to the market. It analyzes currency movements, particularly the South Korean won and Mexican peso, and the effects of the Mexican election on investor behavior. The discussion also covers market transitions and trade strategies, highlighting the importance of tactical approaches in the current economic climate.

What is the primary concern for the PBOC governor in the context of trade disputes?

• Interest rate hikes

• Currency depreciation

• Trade dispute escalation

• Inflation control

Which currency showed strength against the US dollar, as mentioned in the video?

• South Korean won

• Japanese yen

• Euro

• Mexican peso

What was the market sentiment towards the Mexican peso after the recent election?

• Neutral with no significant changes

• Uncertain due to global economic conditions

• Positive due to market-friendly rhetoric

• Negative due to political instability

Which investment strategy is highlighted as a favorite in the current market conditions?

• Short on Dollar-Mex

• Buy US Treasury bonds

• Invest in South Korean won

• Long on Sterling

What is the advised approach towards Sterling in the current market scenario?

• Stay clear

• Invest heavily

• Short sell

• Monitor closely