ECB taper rumor rattles markets

Oct 05, 2016 08:39 am UTC| Commentary Economy Central Banks

Yesterday the Eurozone bond market and the bullion got rattled big time on the rumor that the European Central Bank (ECB) might be considering a taper after the bond buying program gets concluded in March. After all, the...

FxWirePro: EUR/CNH bearish bets on Brexit, U.S. election uncertainty intensifies

Oct 05, 2016 07:39 am UTC| Insights & Views Central Banks

In our recent write on Chinese currency regime, we have already stated that 2016 year-end forecast of USDCNY at 6.85 is firmly upheld. The prospects of a Fed hike before year-end and a rise in capital outflows would likely...

FX Hedging Strategy Series

FxWirePro: Central banks in APAC stimulate AUD/NZD bullish sentiments and holders of option straps in lurk for conducive IVs

Oct 05, 2016 07:16 am UTC| Central Banks Commentary

The AUD has enjoyed support from commodity prices plus the RBA sounding comfortable about Australias outlook as the central bank maintained status quo in its recent monetary policy (cash rates unchanged at 1.50%). An...

Denmark’s FX reserve unchanged in September, key policy rate likely to stay on hold for longer time

Oct 05, 2016 04:53 am UTC| Commentary Central Banks

Danish central bank, Danmarks Nationalbank (DN) yesterday published FX reserve and central bank balance sheet for September. Denmarks FX reserve for September remained unchanged from August at DKK 450 billion. The central...

FxWirePro: RBI delivers easing again with 25 bps anticipating unlikely rise in inflation, expect momentary impact on FX as INR trades with mixed bag

Oct 04, 2016 13:31 pm UTC| Central Banks

The six-member panel of RBI MPC, after series of brainstorming sessions over two days, unanimously decided to cut its key lendingthe repo rateby 25 basis points to 6.25 percent, as a newly set up panel felt that inflation...

FX Hedging Strategy Series

FxWirePro: Use momentary PLN loses in put ladder to hedge USD/PLN depreciating risks on Polish rate cut expectations

Oct 04, 2016 13:03 pm UTC| Central Banks Commentary

As per the National Bank of PolandsMPC, the latest minutes unpredictably indicated that several MPC members are willing to consider rate cuts. This comes as a surprise because individual interviews in recent months tended...

RBA leaves cash rate on hold at 1.5 pct, but retains easing bias

Oct 04, 2016 06:51 am UTC| Commentary Central Banks

As widely projected, the Reserve Bank of Australia left its cash rate on hold today at 1.5 percent after it lowered the key rate by 25 basis points in both May and August. The overall tone of the statement was widely...