Oil price moves will remain the key factor driving equity, currency and fixed-income markets as the new quarter gets underway, First Abu Dhabi Bank's Simon Ballard says in a note. "Sentiment is clearly being buoyed by--but is also highly susceptible to the continuation of--assumed progress being made in U.S.-Iran peace talks and recovery in Strait of Hormuz shipping flows," the chief economist says. The recent drop in oil prices has relieved inflationary pressure globally and lifted European and select Asian equities. However, First Abu Dhabi Bank expects central banks to retain a bias towards raising rates, while Gulf Arabic markets will confront lower crude revenues, Ballard says. This is certainly no time for complacency, he says. (emese.bartha@wsj.com)
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Oil Price Set to Remain a Key Driver for Markets — Market Talk
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Oil price moves will remain the key factor driving equity, currency and fixed-income markets as the new quarter gets underway, First Abu Dhabi Bank's Simon Ballard says in a note. "Sentiment is clearly being buoyed by--but is also highly susceptible to the continuation of--assumed progress being ma…