Surprisingly strong unemployment data reduces the chance of RBNZ cutting rates in March

Feb 03, 2016 16:06 pm UTC| Commentary Central Banks

New Zealand unemployment rate plummeted to 5.3% in the December quarter, in stark contrast to expectations for a small increase. Employment growth was up a solid 0.9% while there was also a sharp fall in...

Further rate cuts from BoT look unlikely in 2016

Feb 03, 2016 15:32 pm UTC| Commentary

Bank of Thailand left its policy rate unchanged at 1.50% as expected. The central bank dropped the phrase "sufficiently accommodative" to describe its monetary stance, calling it just "accommodative". This change could...

Emerging Market Crisis Series

Will Emerging Markets benefit from a cautious Fed?

Feb 03, 2016 15:15 pm UTC| Commentary Central Banks Economy

The Fed is likely to tighten monetary policy only by as much as markets allow without major turmoil. The FOMC statement showed that the Fed takes the financial market turmoil and the development in China and other emerging...

China Crisis Series

Renminbi Series

China’s foreign reserve data likely catalyst for next CNY move

Feb 03, 2016 15:05 pm UTC| Commentary Central Banks

Chinas foreign reserve data to be released on Chinese New Year Eve is likely to be the catalyst for the next CNY move. If there is another big drop in the reserves, the market could speculate more depreciation in Chinese...

Wheeler's comments to support NZD in the short-term

Feb 03, 2016 14:55 pm UTC| Commentary Central Banks

NZD saw handsome gains overnight, and this despite continued risk aversion! Decent Q4 labour market data which recorded a surprise fall of the unemployment rate from 6.0% to 5.3% was one of the reasons. But the main reason...

API reports surplus, while WTI awaits EIA report – calls updated

Feb 03, 2016 13:34 pm UTC| Commentary

WTIs last week rally got halted around $34.7/barrel and price again declined below $30/barrel to trade as low as $29.4/barrel. WTI is currently trading at $30.2/barrel. Key factors at play in Crude market OPEC...

ADP report shows US labour market remains resilient despite volatility and economic slowdown

Feb 03, 2016 13:29 pm UTC| Commentary

Today ADP employment numbers were released from US for the month of January. ADP number shows US economy and its labour markets are quite robust, in spite of global economic slowdown. There are two things to note...