Winter has set in, ushering in a storm of tariffs instigated by Donald Trump. Risk assets have come under pressure following the Republican leader's return to the White House, while money markets remain relatively unaffected. Amid this trade war initiated by the U.S. administration, central banks are well-positioned to further ease monetary policy in the coming months.
Notre stratégie
The money market stands as a bulwark against the global tensions sparked by President Trump.
- The recent slowdown in the primary bond market, coupled with a tense economic environment, has led us to favor short maturities and Negotiable Debt Intruments. Additionally, maintening a solid liquidity buffer remains essential to weather potential market turbulence.
- The sharp rate movements observed in January presented attractive opportunities at elevated yield levels.
- Portfolio diversification remains a top priority in the current landscape of heightened political uncertainty. However, concerns gave not spilled over into the short-term and money markets, which continue to exhibit strong liquidity at this stage.