The Alchemist - Sovereign share prices set for realignment

clock

The currency of a country is the equivalent of its share price, the perceived value of its overall tangible and intangible assets, and while the share prices of the highly indebted developed markets are faltering, those of emerging markets are rising.

In recent weeks, the dollar has benefited from its default position as the world’s safe-haven currency, but the underlying fundamentals, as most investors realise, are hardly inspiring. No-one should doubt the resolve of the US, or the eurozone, to defend their economies and currencies, but global trends are overtaking repeatedly stalled and inadequate measures to defend the euro and the dollar. The major currencies are now in trouble for all the reasons emerging-market currencies were previously in trouble. While the governments of developing countries learned the hard lessons of the...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment

7IM's Ben Kumar: When behavioural biases are not all they seem

7IM's Ben Kumar: When behavioural biases are not all they seem

Investment identity more important

Ben Kumar
clock 02 July 2025 • 3 min read
Aegon AM launches UK-domiciled global income fund

Aegon AM launches UK-domiciled global income fund

In response to client demand

clock 27 June 2025 • 1 min read
CCLA's Charlotte Ryland and Joe Hawkes: How to position for the end of the 90-day tariff pause

CCLA's Charlotte Ryland and Joe Hawkes: How to position for the end of the 90-day tariff pause

Focus on quality

Charlotte Ryland and Joe Hawkes
clock 26 June 2025 • 4 min read
Trustpilot