Dueling outlooks set to keep the Fed on hold in October

Oct 26, 2015 07:47 am UTC| Commentary Central Banks

US domestic demand strength is likely to bolster confidence in the outlook for those FOMC members who think a healthy consumer and falling unemployment justify a modest rise in interest rates by year-end. However,...

ECB worries on euro area's growth and inflation outlooks

Oct 26, 2015 07:37 am UTC| Commentary Central Banks

In its October press conference, the ECB reiterated the downside risks it highlighted in September regarding both the outlook for growth and inflation. In particular, it called for a thorough examination of the strength...

ECB's deposit rate cut likely in December

Oct 26, 2015 06:45 am UTC| Commentary Central Banks

President Draghis comments have supported current market expectations of a possible deposit rate cut in the coming months. The ECB-dated Eonia forward curve has further inverted after Mr Draghis comments and according...

Low underlying inflation in Australia

Oct 26, 2015 06:15 am UTC| Commentary Central Banks

In Australia, the Q3 CPI is the main data release due before the RBA board meets on 3 November, with the RBA staff publishing updated economic forecasts in the Statement on Monetary Policy on 5 November. The CPI will...

RBNZ likely to pause in cutting rates

Oct 26, 2015 06:13 am UTC| Commentary Central Banks

The RBNZ has cut rates three times in a row and it is likely to take some time to gauge the impact of those earlier easings, particularly when average underlying inflation has broadly stabilized with one RBNZ measure...

ECB's policy accomodation likely to weigh on SNB

Oct 26, 2015 06:11 am UTC| Commentary Central Banks

More policy accommodation by the ECB in the coming months will likely add pressure to the SNB and increase market speculation regarding further policy measures. Indeed the SNB is likely to step up FX purchases should the...

Copom minutes to show BCB’s assessment of medium term inflation risk

Oct 26, 2015 06:09 am UTC| Commentary Central Banks

The BCBs decision to leave rate unchanged was widely expected, including by us. The bank added a sentence to its short statement (The Copom emphasizes that monetary policy will remain vigilant to achieve this goal) that...