Tag: currency risk
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AI Boom, Dollar’s Decline and Sticky Inflation
The AI Boom Meets a Cautious Wall Street The rapid surge in artificial intelligence development has transformed how companies think about productivity, data, and strategy. Yet behind the headlines of breakthrough models and record funding lies a complex macro backdrop: a dollar that has weakened at times, inflation that sticks, and investment horizons that demand…
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AI Boom, Dollar Decline, and Sticky Inflation: Navigating a New Era of Costs and Returns
Overview: A Triple Challenge for the Year Ahead The AI boom has become a defining force in corporate strategy, yet it presents a trio of intertwined risks: astronomical expenditure, uncertain returns, and uneven adoption. As firms race to deploy generative AI, the immediate costs are high—from software and infrastructure to talent and data governance. Simultaneously,…
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Local Markets Shine In A Solid Quarter For EM Debt
Overview: A Robust Quarter for Emerging Market Debt Emerging market (EM) debt delivered a notably better performance in the latest quarter as local markets showed resilience amid shifting global rates and improving balance-of-payments dynamics. Investors sought higher yields and diversification from a broad array of EM sovereign and corporate bonds, while local-currency debt benefited from…