Hedge the U.S. Election in Currency Markets
- Rates, FX volatility cheapest to own outright: Morgan Stanley
- ‘Real election vulnerability’ is in dollar, Tallbacken says
This article is for subscribers only.
Currencies might be the best place to hedge U.S. election uncertainty because volatility looks cheaper in foreign-exchange markets relative to other asset classes.
That’s the view of strategists at Morgan Stanley and Tallbacken who have been gauging the increase in volatility in stocks, rates, currencies and commodities ahead of one of the most divisive elections in recent U.S. history.