Expect one more US rate hike this year even if Ivanka Trump is leading the Fed, UBS economist says

by Dramelin 3:30 AM 0 comments

The euro spiked last week after traders interpreted remarks by the European Central Bank President Mario Draghi as an indication that it`s getting ready to reduce monetary stimulus.
The bank`s vice-president, Vitor Constancio, shortly after told CNBC that Draghi had not signaled any change in policy.
Mark Carney, governor of the Bank of England, also sent sterling higher last week, after stating that continued growth in the U.
economy would eventually lead to an increase in interest rates.
Mentel also told CNBC that it shouldn`t be news for the markets that central banks will tighten their policies.
"What`s news for the markets is to have these hawkish tones when actually the economy globally isn`t going quite…as synchronized as it was before," he said.
"That nervousness of the markets is exactly why we`ve gone 5 percent equity underweight because we see them just overreacting to any piece of news that comes out because they feel highly valued," he added.
Mentel is overweight on European equities and underweight on U.
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