DBS Macro Insights - 2020 Outlook: Beyond Economics

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Published on December 4, 2019 7:53:35 AM ● Video Link: https://www.youtube.com/watch?v=mVRSj96-ioM

Duration: 4:01

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A key to an orderly 2020 would be for major central banks to keep liquidity taps on, with a focus on both monetary operations and regulations that have been seen to weigh on funding conditions this year. While there is little doubt about the intentions of the Fed, ECB, and BoJ to hold short-term rates low, how they manage to keep yield curves relatively flat (and how that impacts corporate spreads) remains to be seen. With nearly two trillion of dollars of refinancing in the pipeline next year needed just by Asian corporates, the debt rollover challenges are daunting.