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Here Come 10 ‘Outrageous’ Predictions for 2020 From Saxo Bank

Cecile Gutscher

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For those bored by the endless procession of prosaic 2020 outlooks from Wall Street, Saxo Bank has just issued its 10 outrageous predictions for next year.

Anticipating 12 months marked by “disruption of the status quo” at “nearly every turn,” the Danish bank argues that investors should be ready for anything. That includes:

U.K. nominal growth doubling to 8%Stagflation taking hold, rewarding value over growth stocksECB hiking ratesOil and gas industry emerging as surprise winners amid the mania over ESGUSDZAR rising from 15 to 20 as the world cuts credit lines to South AfricaTrump announcing America First Tax to reduce trade deficitSweden unleashing “huge fiscal stimulus” to quell anti-immigrant sentiment, driving a steep rally in the kronaDemocrats winning the U.S. election in a vote led by women and millennialsHungary leaving the EUAsia launching new reserve currency to break its dollar dependence

Read more: Some of 2019’s Wackiest Investment Predictions Are Coming True

The end of the populist fightback, finance ministers taking the baton from central bankers, and green finance losing its clout all “could represent one big pendulum swing,” according to the team led by Chief Economist Steen Jakobsen.

“Inevitably the outcomes that prove the most disruptive (and therefore outrageous) are those that are a surprise to consensus,” they write.

If 2019 is anything to go by, they may be onto something. Contrarian calls for this year like the Federal Reserve cutting rates actually came true.

What’s your 2020 vision? Terminal users are invited to join the Markets Live blog’s survey.

To contact the reporter on this story: Cecile Gutscher in London at cgutscher@bloomberg.net

To contact the editors responsible for this story: Samuel Potter at spotter33@bloomberg.net, Yakob Peterseil, Sid Verma

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