FxWirePro: Hedge NZD/USD via option strips on hawkish Fed and dovish RBNZ to bring in bearish risks, OTC tools to validate

Feb 23, 2017 07:43 am UTC| Research & Analysis Insights & Views Central Banks

Weve been neutral in a 0.7130-0.7240 range for Kiwi dollar against US dollar. NZDUSD in medium term perspectives: The Feds tightening cycle plus US fiscal expansion should maintain upside pressure on US interest rates...

Central Banking Series

Malaysia's Bank Negara likely to hold benchmark policy rate at 3.00 pct despite spike in inflation

Feb 22, 2017 11:55 am UTC| Insights & Views Central Banks Economy

The Bank Negara Malaysia (BNM) in its first monetary policy meeting of 2017 on 16th January held its benchmark overnight policy rate at 3.00 percent and said that the decision was supported by stronger household demand,...

RBA expects Australia GDP to rebound after weak Q3 reading

Feb 21, 2017 14:47 pm UTC| Commentary Central Banks

The Reserve Bank of Australia released minutes of the board meeting held on February 7 where policymakers voted to leave the cash rate unchanged at 1.50 percent. RBA continued with its broadly upbeat commentary in the...

FxWirePro: Russian central bank and government authorities send hints to uphold USD/RUB call spreads

Feb 21, 2017 12:15 pm UTC| Research & Analysis Insights & Views Central Banks

In Russia, there have been comments from officials this week following RUBs recent appreciation. Despite the onset of CBR FX purchases of around $2bn per month, the ruble has appreciated on the back of resilient oil...

RBA confident Australia will avoid recession supported by significant recovery in exports

Feb 21, 2017 12:02 pm UTC| Insights & Views Central Banks Economy

At the board meeting held on February 7, the Reserve Bank of Australia (RBA) policymakers voted to leave the cash rate unchanged at 1.50 percent as they judged that it would be consistent with sustainable growth in the...

FxWirePro: Uphold USD/SGD “Interest Rate Swaps” owing to Federal Reserve’s developments

Feb 21, 2017 10:15 am UTC| Research & Analysis Insights & Views Central Banks

If the Fed looks through the rise in prices, the real exchange rate will appreciate. The increased inflation due to tighter labor markets would also tend to increase the real exchange rate, though this almost certainly...

Central Banking Series

Bank Indonesia likely to hike 25 bps in 3Q17 on hopes of upbeat GDP growth, says DBS

Feb 21, 2017 07:03 am UTC| Commentary Economy Central Banks

Bank Indonesia (BI) is expected to hike its benchmark interest rate by 25 basis points to 5.00 percent by the third quarter of this year, following hopes of a strong growth in the countrys gross domestic product (GDP)....