Currency War Series

ECB expectations adding pressure on euro

Nov 30, 2015 11:56 am UTC| Commentary Central Banks

When the ECB launched its 1.1trillion QE programme in March, purchasing 60bn of bonds a month, euro area inflation stood at a minus 0.1pct and has since climbed to 0.1pct, well below the ECB target. In a speech last week...

Currency War Series

RBA likely to end the year on hold

Nov 30, 2015 09:27 am UTC| Commentary Central Banks

There is final Reserve Bank of Australias meeting tomorrow, in which the Governor speaks on the economy the next day, just before the release of the GDP for third quarter of this year. We still expect the RBA to remain...

RBA Stevens' advice likely smarter than the originally sounded "Chill out"

Nov 30, 2015 09:18 am UTC| Commentary Central Banks

Some market participants opined that the depressed situation of commodity markets, tempted the RBA to indicate further rate cuts and also to end the RBA governor Stevens chilling out rhetoric. AUD/USD is currently...

Currency War Series

Poland's NBP likely to cut rates by 50bp in Q1 16

Nov 30, 2015 09:16 am UTC| Commentary Central Banks

Poland economy was under deflationary pressure in October with the CPI inflation reading at 0.7% y/y. The negative growth rate in price level is expected to continue in November also. The CPI deflation is expected at -0.4%...

Central Banks of Commodity Exporting Countries Seem To Be Relaxed With Their Inflation Rates

Nov 30, 2015 08:52 am UTC| Commentary Central Banks

The central banks of commodity exporting countries are in a good position when compared to the central banks of commodity importing G10 countries. Their inflation rates are either within the target range like that of Bank...

Currency War Series

BoC likely to hold despite weaker data

Nov 30, 2015 08:30 am UTC| Commentary Central Banks

BoC is likely to keep its policy rate unchanged, as per the market consensus expectations, as there is good inflation and the decline in oil and commodity prices is compensated by the economic activity in non-resource...

Currency War Series

ECB easing will likely cause the Riksbank to cut

Nov 30, 2015 07:24 am UTC| Commentary Central Banks

ECBs meeting this week brings in wide expectations on a rate cut and extension of its QE programme, which will ultimately effect smaller European currencies like the SEK, NOK and CHF. In Sweden, we continue to think...