#currency-markets

#currency-markets

The empirical and academic evidence on the impact of a loss of central bank independence is fairly clear: in extreme cases, both the currency and the bond market can collapse as inflation expectations move higher, real yields drop and broader risk premia increase on the back of institutional erosion.

Beijing's consideration of a U.S. offer to engage in tariff discussions has helped ease market concerns, lifting sentiment across Asian currencies.

The quick recovery of the dollar post-election highlights how swiftly market perceptions can shift based on anticipated economic policies, affecting global economic stability.