Regional growth rotation away from the US and greater differentiation with high beta FX are the top trading themes in our view.
U.S. inflation slowdown and lower growth, BoJ policy pivot and China re-opening have a longer 'shelf life' than EU growth. Stand tactically neutral on euro, dollar and emerging markets. Hold bearish view on the loonie and the Australian dollar on the back of growth rotation, stand bearish on SEK and GBP crosses.
EUR target has been revised higher, up to 1.08-1.10 on positive growth momentum. - J.P. Morgan
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