Investors wary of global currencies as sterling falls, according to Merrills

Investors are increasingly concerned about global currencies amid excess volatility in FX markets, ac...

Investors are increasingly concerned about global currencies amid excess volatility in FX markets, according to Merrill Lynch’s April fund manager survey. The latest research shows some of the most extreme currency readings in the survey’s history, indicating investors believe exchange rates have already departed from fundamentals. A net 50% of asset allocators think the US dollar is undervalued, up from 30% three months ago. By contrast, 71% see the euro as overvalued, up from 55% in January. The survey also reports 52% of respondents still believe sterling is overvalued, despite its ...