ECB policy decision: Patience till December

Nov 22, 2015 22:21 pm UTC| Commentary Central Banks

EURUSD is expected to remain relatively choppy as we approach the December ECB event risk and see any squeeze higher as an opportunity to re-initiate short EURUSD positions ahead of the meeting. Indeed, the ECB further...

Counting the days to the December Fed hike

Nov 22, 2015 12:41 pm UTC| Commentary Central Banks

With less than a month away from Federal Reserves December meeting where the FOMC will decide whether or not to start the first tightening cycle in more than a decade. Putting that into perspective, it will potentially be...

ECB on track to loosen policy at December meeting

Nov 20, 2015 17:30 pm UTC| Commentary Central Banks

Since President Draghis 22nd October announcement that an easing of monetary policy would be considered at the ECBs December meeting, which is now less than two weeks away, indicators of euro area financial conditions have...

PBoC lowers SLF rates in move to build a new policy framework

Nov 20, 2015 15:37 pm UTC| Commentary Central Banks

The PBoC cut its overnight and 7d SLF rates in a move to anchor market interest rate expectations ahead of the resumption of IPOs next week. The central bank announced yesterday that it would lower the rate charged by its...

Swiss trade balance not suffice to restrain USD/CHF rallies but SNB lined up for rate cut

Nov 20, 2015 13:42 pm UTC| Technicals Central Banks

Switzerland has posted upbeat trade balance numbers for this month at 4.13B which is a way beyond 3.25B and forecasts at 3.18B. Swiss National Bank left monetary policy unchanged last meeting, the SNB had left the...

BoE may follow Fed’s December rate hike

Nov 20, 2015 12:56 pm UTC| Commentary Central Banks

The BoE is expected to hike its bank rate around a year later the Fed. The money market curve in the U.K. is quite flat and a sharp steepness expected to see. UK headline inflation is expected to increase above 1% by Q2 16...

German hawk counters European doves (again)

Nov 20, 2015 12:21 pm UTC| Insights & Views Central Banks

German hawk (Bundesbank chief Jens Weidmann) today in his speech took on the European doves (ECB president Draghi executive board member Peter Paret) again discarding the fear over deflation. Mr. Draghi and Paret (both...