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UBS Group AG has reduced its holdings in Revolution Beauty Group plc to below 5%, exempting it from future reporting obligations. This shift may influence market dynamics and investor confidence in the company, which focuses on innovative and affordable beauty products. Year-to-date, Revolution Beauty's stock has seen a decline of 54.06%, with a current market cap of £46.93M.
Diageo shares rose 3.8% to 2,583p after UBS upgraded the stock to 'buy' from 'sell' and increased the price target to 2,920p, citing strong growth in key brands like Don Julio and Crown Royal. UBS noted that sell-out trends are outperforming a weak Spirits industry, suggesting the company is nearing the end of its earnings downgrade cycle. Despite expected destocking affecting H1 US Spirits shipments, organic sales in North America are forecasted to rise 0.6%, contrary to consensus expectations of a 2.4% decline.
UBS has a positive outlook on the British pound (GBP), Australian dollar (AUD), and Swiss franc (CHF), citing high interest rates and expected monetary easing in the UK and Australia. The firm predicts GBP will rise to 1.35 and AUD to 0.68, while CHF is expected to decline to 0.84 due to narrowing interest rate differentials.In contrast, UBS maintains a neutral stance on the Japanese yen (JPY), forecasting a potential short-term rise to 155 but a medium-term decrease to 145 by 2025. The firm is bearish on the Chinese yuan (CNY), anticipating it will rise to 7.50 amid escalating US-China trade tensions and risks of further depreciation despite efforts to stabilize it.
UBS has a positive outlook on the British pound (GBP), Australian dollar (AUD), and Swiss franc (CHF), citing high interest rates and expected monetary easing in the UK and Australia. The firm predicts GBP will rise to 1.35 and AUD to 0.68, while CHF is expected to decline to 0.84 due to narrowing interest rate differentials.In contrast, UBS maintains a neutral stance on the Japanese yen (JPY), forecasting a potential short-term rise to 155 but a medium-term decrease to 145 by 2025. The firm is bearish on the Chinese yuan (CNY), anticipating it will rise to 7.50 amid escalating US-China trade tensions and risks of further depreciation despite efforts to stabilize it.
UBS forecasts a bearish outlook for the Euro against the Japanese Yen and the British Pound, driven by anticipated economic data rather than the recent ECB meeting. Key indicators, including the preliminary December PMI and France's Insee survey, could signal weakness, prompting more aggressive market bets on ECB rate cuts. UBS maintains a long-term target of 0.8200 for EURGBP, with potential for further declines unless significant external shocks occur.
UBS forecasts a bearish outlook for the Euro against the Japanese Yen and the British Pound, driven by anticipated economic data rather than the recent ECB meeting. Key indicators, including the preliminary December PMI and France's Insee survey, could signal weaker inflation expectations and prompt more aggressive market bets on ECB rate cuts. UBS maintains a long-term target of 0.8200 for EURGBP, with potential for further declines unless significant external shocks occur.
Diageo PLC saw a 3.5% rise in shares after UBS upgraded its rating from 'sell' to 'buy', anticipating a recovery in the company's fortunes by 2025, particularly in the Tequila and whisky sectors. UBS expects the US spirits market to grow by 3% annually, with Diageo's tequila arm and Crown Royal driving a projected 3.6% rise in sell-out volumes in early 2025, despite a challenging market. The bank has also raised its price target for Diageo to £29.20 from £23, suggesting the company is nearing the end of its earnings downgrade cycle.
Diageo PLC saw a 3.5% rise in shares after UBS upgraded its rating from 'sell' to 'buy', anticipating a recovery in the company's fortunes by 2025, particularly in tequila and whisky sales. UBS projects a 3.6% increase in US spirits sales in the first half of 2025, despite current market challenges. The bank has also raised its price target for Diageo to £29.20 from £23, suggesting the company is nearing the end of its earnings downgrade cycle.
UBS is optimistic about the British pound (GBP), Australian dollar (AUD), and Swiss franc (CHF), predicting rises to 1.35 and 0.68 for GBP and AUD, respectively, due to high interest rates. The Swiss franc is expected to benefit from limited interest rate cuts, with a forecasted USD/CHF rate of 0.84.In contrast, UBS remains neutral on the Japanese yen (JPY), anticipating a potential rise to 155 in the short term but a decline to 145 by 2025. The outlook for the Chinese yuan (CNY) is bearish, with expectations of the USD/CNY rate reaching 7.50 by the end of 2025, driven by trade tensions and risks of further depreciation.
El Salvador is set to revise its Bitcoin law, making its use voluntary, as it approaches a $1.3 billion IMF loan deal amid economic pressures. The country has partnered with Argentina to enhance crypto regulation in Latin America, aiming to share expertise and promote innovation in the sector. Despite the shift, El Salvador remains a significant Bitcoin holder, with 5,942 BTC valued at $600 million.
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