FxWirePro: Chemistry between G10 central banks’ monetary policy season and their FX space on eve of Christmas

Dec 15, 2017 11:25 am UTC| Central Banks Research & Analysis Insights & Views

Weve woken up last morning unsurprised by the Fed decision and the market response; indeed, the policymakers median forecast is now fully aligned with our call that there would be three further hikes in 2018, followed by...

Fed Hike Aftermath Series: FOMC projects three hikes in 2018, while market prices two

Dec 15, 2017 06:51 am UTC| Commentary Central Banks

In September, FOMC members projected three rate hikes for 2018 after hiking interest rates by 25 basis points three times each this year. And at this weeks FOMC, participants have once again reaffirmed their decision to...

FxWirePro: BoJ keeps CAD/JPY on check - option strips to hedge both bearish/bullish scenarios in major trend

Dec 15, 2017 06:48 am UTC| Central Banks Research & Analysis Insights & Views

CADJPY is perceived to be edgy and it seems to be at undervalued levels by the commitment of the BOJ to target a 2% inflation rate and anchor bond yields. We see only a small chance of that commitment waning in 2018...

Norges Bank stands pat in December, indicates first hike by end-2018

Dec 14, 2017 20:26 pm UTC| Commentary Central Banks

The Norges Bank kept its key interest rate on hold at 0.5 percent today, as was expected. But the central bank lifted the interest rate path and the first hike is moved forward to end-2018, noted Nordea Bank in a research...

Turkish central bank hikes rates by 50 bps, likely to tighten policy again in 2018

Dec 14, 2017 19:57 pm UTC| Commentary Central Banks

The Turkish central bank, CBRT, hiked its interest rate by 50 basis points today, following the sharp depreciation of the Turkish lira in the autumn and consequently rising inflation. The hike made today in late liquidity...

ECB keeps interest rate unchanged, revises up GDP and inflation forecast

Dec 14, 2017 18:51 pm UTC| Commentary Central Banks

The European Central Bank today kept its key interest rate on hold as expected. Therefore, the deposit rate continues to be at -0.4 percent, the refinancing rate at 0 percent and the marginal lending rate at 0.25 percent....

Bank of England keeps interest rates on hold

Dec 14, 2017 15:01 pm UTC| Commentary Central Banks

The Bank of England kept the interest rates unchanged as expected today. Furthermore, the voting records indicate that all the members supported the decision with the collective judgment being that it was too soon the...