Geopolitical tensions might seem like they should be one of the biggest drivers omarket action, but they’ve got nothing on the Federal Reserve, panelists at UBS’ CIO Global Forum said in New York on Tuesday.
Geopolitical tensions seem like they should be among the biggest market drivers, but they’ve got nothing on the Federal Reserve, said panelists at UBS’ CIO Global Forum in New York on Tuesday.
That said, geopolitical anxiety has been mounting over the past months, not least thanks to a war of words between North Korea and the U. S., reaching its latest peak as the Pyongyang accused the U. S. of having declared war on Monday.
But this kind of rhetoric won’t necessarily lead to a military conflict, panel participants said. Rather, it will create more headline risk and ups and downs, with the real next question being how Washington will react to another missile test in the near-term.
But there is plenty to look out for domestically, which could have more sway over markets and investing in the long-run. Those factors include the composition of the U. S. central bank and its recent unprecedented move to unwind its balance sheet, said Mike Ryan, chief investment strategist at UBS Wealth Management Americas, during a panel on the current macro environment on Tuesday.
