Volatility Drivers Impacting the Market

The transcript discusses the impact of the US election on market volatility, highlighting the rising probability of Trump coming into power and its effects on asset markets. It also covers the European Central Bank's (ECB) strategies to manage inflation and economic stability, including potential actions like deepening negative interest rates and expanding quantitative easing.

What is the main concern regarding the US elections and its impact on the market?

• The GDP growth rate

• The rise in oil prices

• The stability of the US dollar

• The probability of Trump coming into power

Which of the following factors has NOT been mentioned as a driver of market volatility?

• Earnings statements

• Oil prices

• Climate change

• GDP data

What action is the ECB expected to take in response to inflation pressures?

• Stop quantitative easing

• Maintain current interest rates

• Decrease interest rates further

• Increase interest rates

What is the ECB's inflation target?

• Exactly 2%

• Just below 2%

• Below 1%

• Above 3%

What is the potential impact of the ECB's actions on the corporate sector?

• Have no effect on the cost of capital

• Stabilize the cost of capital

• Decrease the cost of capital

• Increase the cost of capital