Saxo Bank's 10 Outrageous Predictions for 2015

London (ots/PRNewswire) -

Saxo Bank [http://www.saxobank.com ], the online multi-asset
trading and investment specialist, today releases its annual set of
'Outrageous Predictions' for the year ahead. These are 10 unlikely
events, even if their risk is under-appreciated, that would have
significant consequences for global markets should they come to pass.

This year's predictions include the notion of a UK exit from the
EU after a landslide gain by the UK Independence Party in the
country's general election. Other outrageous predictions include
Mario Draghi quitting the European Central Bank to become Italian
president, a UK housing market crash, and the eruption of Icelandic
volcano Bardarbunga, which could cancel Europe's summer in 2015.

Steen Jakobsen, Chief Economist at Saxo Bank, comments:

"2015 will be a tough year, but potentially also the year we look
back at as the low point in everything. Inflation has fallen to its
lowest in decades, interest rates have followed and energy prices are
sharply lower. The lack of volatility in data and in asset markets
has given investors a false sense of security and that could lead to
the biggest upset in 2015. We saw a possible preview of coming
attractions during one week of mayhem in October of 2014. If that's
anything to go by, we are in for a rollercoaster ride in 2015."

"Saxo Bank's Outrageous Predictions remain an exercise in finding
ten relatively controversial and unrelated ideas which could turn
your investment world upside down. By imagining the most negative
scenarios and events, whether a Russian default, volcanoes spreading
havoc, or an internet Armageddon, investors have a chance to stress
test their assumptions about the future and what these events might
mean for their own investments. We must remember that while the
predictions outline rather extreme market scenarios, over the years,
a number of them have unfortunately come true."

To see more please go to the Outrageous Predictions website:

To follow Outrageous Predictions or to make your own, join the
conversation on Twitter by using the hashtag #2015OP and don't forget
to follow TradingFloor.com and Saxo Bank on @tradingfloorcom and
@SaxoBank.

Saxo Bank's Outrageous Predictions 2015

1. UK housing sector to crash

Surveys are already showing that momentum is fast leaving the UK
housing market, particularly in London. The impending Bank of England
rate hike will see the UK suffer a housing crash with prices falling
as much as 25% in 2015.

2. Japanese inflation to hit 5%

Incessant Bank of Japan money printing crushes confidence in the
yen as Kuroda-san finds that his policy to bring inflation back to
his country is met with too much "success" - a symptom of Japan
losing control of its currency.

3. China devalues yuan 20%

China will be looking for any way it can to ease the enormous
deflationary pressures that are the downside of a credit boom. As
deflationary risks loom China tears a page from the BoJ policy
playbook and moves to devalue the yuan by 20%, joining Japan in its
fight to import inflation and demand.

4. Draghi quits ECB

To bring the Germans fully on board with the European Central
Bank's move to QE, Draghi steps aside to allow for full ECB
quantitative easing to proceed under a new president, Jens Weidmann
of the Bundesbank. Draghi sees greater opportunity for his skills in
Italy, where President Napolitano requests that he succeed him.

5. Russia defaults again

Plunging oil prices and a cold financial shoulder from Russia's
geopolitical antagonists see large Russian companies or the
government itself defaulting on foreign debt. A default, like in
1998, is what is needed to secure the country's future, together with
a diplomatic solution on the Ukraine question.

6. Internet hacks smash e-commerce

In 2015, new attacks on e-commerce's largest players become even
more widespread and aggressive, sending shockwaves through the web
and cloud service providers. Amazon.com, the largest e-commerce
retailer and dominant player in web-based services, suffers a decline
of 50% on the widespread fallout to the e-commerce industry and also
because of its overvaluation.

7. Volcanic eruption cancels Europe's summer

Like the volcano Laki in the year 1783, the already active
Icelandic volcano Bardarbunga erupts in 2015, leading to a massive
release of noxious sulphur dioxide and other gases that cloud the
skies over Europe. The eruption shifts weather patterns and brings
fears of a weak harvest across Europe, with grain prices doubling
even as the volcano's fallout proves more modest than feared.

8. Cocoa futures hit a record USD 5,000/tonne

Demand for chocolate is rising globally as Western preferences
shift towards darker chocolate and Asian appetite increases. With
supply affected by concerns over the Ebola virus and underinvestment
in key West African production regions, the world is consuming far
more cocoa than it is producing. This leads to a record high price
for cocoa above USD 5,000 per tonne in 2015.

9. UK seen leaning toward 2017 exit from the EU (Brexit) on UKIP
election landslide

The UK Independence Party (UKIP) wins 25% of the national vote in
Britain's general election on 7 May, 2015, sensationally becoming the
third largest party in parliament. UKIP joins David Cameron's
Conservatives in a coalition government and calls for the planned
referendum on Britain's membership of the EU in 2017. UK government
debt suffers a sharp rise in yields.

10. High-yield corporate bond spreads double

After a sentiment shift on high yield bonds, investors heading for
the exits in 2015 discover sparse liquidity and steep price declines.
With an ultimate washout in high-yield credit, shock waves will once
again shake the foundations of Europe's weak economy. The Markit
iTraxx Europe Crossover doubles to 700 basis points in 2015.

Please remember to use #2015OP.

About Saxo Bank

Saxo Bank is an online multi-asset trading [http://www.saxobank.c
om/forex?csref=b1744_Link_boilerplate_pressrelease ] and investment
specialist, offering private investors and institutional clients a
complete set of tools for their trading and investment strategies.
Its financial community portal, TradingFloor.com
[https://www.tradingfloor.com ], is the first multi-asset social
trading platform. A fully licensed bank in Europe under supervision
of Danish FSA, Saxo Bank enables clients to trade FX, CFDs, ETFs,
Stocks, Futures, Options and other derivatives on our award-winning
SaxoTrader platform, accessible on PC
[http://www.saxobank.com/trading-platforms/saxotrader ]s, tablet
[http://www.saxobank.com/trading-platforms/saxowebtrader ]s or
smartphone
[http://www.saxobank.com/trading-platforms/saxotrader-apps ]s through
a single account and available in more than 20 languages. The
platform is white-labelled by more than 100 major financial
institutions worldwide. Saxo Bank also offers professional portfolio
and fund management as well as traditional banking services through
Saxo Privatbank. Founded in 1992, Saxo Bank is headquartered in
Copenhagen and has offices in 26 countries throughout Europe, Asia,
the Middle East, Latin America, Africa and Australia.

ots Originaltext: Saxo Bank (Switzerland) SA
Im Internet recherchierbar: http://www.presseportal.de

Contact:
Media enquiries: Kasper Elbjørn, Head of International
Communications, +45-3065-4300, press@saxobank.com