In an interview with Al-Arabia, Samir Asaf, chairman of HSBC Bank’s board of directors in the Middle East and chief adviser to General Atlantic, said that there are three factors that will determine the parameters of 2022, namely inflation, developments, the corona crisis and the geopolitical situation, particularly the potential situation. International markets.
He explained that inflation would push central banks to determine the extent of interest rate hikes, while the corona epidemic would have a significant impact on Sino-US relations, the difficult situation on the Russian-Ukrainian border and potential economic growth. The nuclear deal between Iran and the West and its impact on oil prices.
Assaf expects a favorable environment and improvement in the stock market in the new year.
He stressed the need to look at the Chinese market because it is too late in 2021, and it is very interesting that China is the only country where inflation is largely controlled and they have the potential to reduce interest rates. Investments in renewable energy and the ability to control the problems of the real estate sector.
On the other hand, in the currency market, it can be expected to continue Dollar strength Especially in the first six months of the year, the central bank is expected to raise interest rates by 3 times in 2022, twice in 2023 and 2 percent in 2024 as well as the US. %
As for the currencies of emerging countries, he hopes that despite the willingness of emerging markets to raise interest rates in developed countries, they will continue to have difficult conditions.
He said cryptocurrencies, like other commodities, would be a commodity and there would be digital currencies issued by central banks, which would vary in use and China would be faster in issuing them.
He pointed out that cryptocurrencies should play a small role in the investment portfolio, given the large volatility and risk tolerance in the crypto market.
Among metals, Chairman of HSBC Bank’s Board of Directors and Chief Adviser to General Atlantic expects gold and silver declines to continue in 2022 and 2023, with interest rates rising and investors turning to gold for cryptocurrencies.
As for oil, demand for it has been limited by the corona epidemic, while supply has been linked to production volumes by stopping new investments in the energy sector, he said.
He said the deal with Iran would reduce prices and the latter would remain the case.
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