Receding risks of US rate hikes and catch-up in rains open the window for further RBI rate cuts

Sep 22, 2015 20:46 pm UTC| Commentary Central Banks

The Fed extended its on-hold stance in September, signalling the need for more data to justify rate normalization. Risks to global growth, primarily out of China, and heightened market volatility also received a mention....

Markets still on edge after Fed decision

Sep 22, 2015 20:16 pm UTC| Commentary Central Banks

Second quarter earnings growth varied widely by sector. Healthcare earnings grew 15.3% year over year while energy companies earnings were down a whopping 55.5%. With such a wide dispersion in company performance,...

A truncated Fed due to US growth concerns could be traumatic

Sep 22, 2015 17:53 pm UTC| Commentary Central Banks

If the Feds upcoming tightening cycle were to be abridged because US growth tipped lower, unable to cope with the strain of even a modest sequence of interest rate hikes it would, at best, be problematic and, at worst,...

Despite the hawkish Fed, USD weakness ahead

Sep 22, 2015 17:27 pm UTC| Commentary Central Banks

We are witnessing the dying embers of a USD rally that once burned so bright, and we may be on the cusp of a weakening USD trend. The baseline view is that once the hawkish consensus falters the USD will weaken. The...

CNB's risk of later exit from FX regime increases

Sep 22, 2015 12:50 pm UTC| Commentary Central Banks

The central bank of Czech Republic is currently satisfied with its monetary policy. Therefore, no change is expected on moetary policy at the upcoming meeting of the banks board. The key interest rate remains at technical...

Risk of a delay in BOE hiking cycle likely if Fed holds rates longer

Sep 22, 2015 11:20 am UTC| Insights & Views Central Banks

The U.S. central bank held fire on its first rates rise in more than nine years. A rate rise is not expected to happen until next year in the wake of a global stock market sell-off triggered by economic turmoil in China....

Russian central bank tops up its gold reservesin August

Sep 22, 2015 09:41 am UTC| Commentary Central Banks

The obvious discrepancy between the monetary policy paths followed by the two major central banks should also be reflected in the EUR-USD exchange rate and help the US dollar to appreciate. In turn, this should preclude...