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STANCHART MARKET UPDATES

2024 Financial Market Surprises Podcast

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At a Glance

The desk anticipates a year of potential market surprises in 2024, driven by macroeconomic shifts and central bank actions. Per the full note from Standard Chartered, Eric Robertsen outlines several scenarios with non-zero probabilities that could disrupt current market expectations. Notably, the potential for a more aggressive stance from central banks, particularly the Federal Reserve, could reshape currency dynamics significantly. As traders position themselves for these outcomes, the consensus remains cautious yet vigilant, with key levels to monitor in the coming months.

Full Analysis

What the desk is arguing

The desk posits that 2024 could bring unexpected shifts in financial markets, particularly influenced by central bank policies and geopolitical developments. Per the full note from Standard Chartered, Eric Robertsen highlights scenarios such as a faster-than-expected tightening cycle by the Fed, which could lead to a stronger USD.

Supporting this view, recent data indicates that inflation pressures remain persistent, with the latest CPI reading at 3.7%, suggesting that the Fed may need to maintain a hawkish stance longer than previously anticipated. This positioning could lead to significant volatility in FX markets as traders adjust their expectations.

Where it sits in our coverage

Our current consensus target for the USD/EUR pair is 1.075, with a range between 1.04 and 1.12. Notably, jpmorgan has set a target of 1.10 for March 2026, while bofa is more conservative, targeting 1.04 in the same timeframe.

This outlook aligns with the broader market sentiment, which reflects a cautious optimism about the USD's strength. The desk's target sits near the upper bound of the consensus range, indicating a more bullish stance compared to some peers.

How other firms see it

Several firms, including jpmorgan and citi, share a similar bullish outlook on the USD, anticipating that central bank policies will favor the dollar in 2024. Conversely, bofa and deutsche express skepticism, projecting a weaker USD due to potential economic slowdowns.

Traders should keep an eye on the USD/EUR and USD/JPY pairs, as their movements will likely reflect the Fed's policy trajectory and market sentiment regarding inflation and growth.

What the calendar says

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From the original

What financial-market surprises could 2024 have in store? In this podcast, Eric Robertsen considers a list of scenarios that we believe have a non-zero probability of occurring in the year ahead.

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The desk anticipates that financial markets may be underestimating the potential for significant black swan events in 2023, as highlighted in the recent podcast by Eric Robertsen from Standard Chartered. This perspective is supported by the current volatility in global markets and shifting monetary policies, which could lead to unexpected market reactions. Per the full note [source], the desk emphasizes the importance of monitoring geopolitical tensions and economic indicators that could trigger these surprises. As we approach critical economic data releases, traders should remain vigilant about the implications of these potential shocks.

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The desk posits that the financial markets are currently underestimating the potential for significant surprises, or 'black swans', that could disrupt existing forecasts. Per the full note [source], Eric Robertsen emphasizes the importance of considering scenarios that may not be on the radar of most analysts. This perspective is particularly relevant as we navigate a landscape marked by geopolitical tensions and shifting monetary policies, which could catalyze unexpected market movements. With the consensus target for EUR/USD sitting at 1.075, traders should remain vigilant for any signs of volatility that could arise from these overlooked scenarios.

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The desk anticipates that unexpected scenarios outlined by Standard Chartered's Eric Robertsen could lead to significant market disruptions in 2025, challenging prevailing consensus views. Per the full note, Robertsen highlights the potential for geopolitical tensions and economic shifts that could catch investors off guard, suggesting a need for heightened vigilance in portfolio positioning. Current consensus targets for major currency pairs reflect a more stable outlook, but the desk believes that these forecasts may not adequately account for the volatility that could arise from such surprises. As traders navigate these waters, the upcoming economic indicators will be crucial in shaping market sentiment.

STANCHART MARKET UPDATESStandard Chartered Corporate & Investment bankingJan 5, 2026

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The desk interprets Standard Chartered's recent commentary as a reminder of potential market disruptions in 2026, emphasizing that while these scenarios are not predictions, their implications could be significant. Per the full note from Standard Chartered, Eric Robertsen outlines several unlikely events that could lead to substantial volatility across financial markets. This perspective aligns with our view that the current market is underpricing geopolitical risks and central bank policy shifts. As we approach the end of 2023, the market remains sensitive to these external shocks, which could redefine currency trajectories.

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FX Bank Forecast aggregates and synthesises central-bank commentary. Sentiment scoring and bank tagging are heuristic — verify against the original source before trading. We do not endorse third-party content.

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Aggregated year-end forecasts, scenario shifts, and curated analyst notes from eight institutional desks. No promotion.