Fed: Timing of lift-off remains open after employment report

Sep 04, 2015 15:23 pm UTC| Commentary Central Banks

The US labor market recovery remains on track with a solid employment report (+173k jobs, 5.1% unemployment rate) for August, suggesting the Fed will soon start to raise rates. However, the employment report has not...

SNB, are you watching? Inflation hits 56-year low

Sep 04, 2015 12:35 pm UTC| Insights & Views Central Banks

Swiss growth has surprised economists and analysts (including us), who expected a contraction in growth, slowdown in exports, weakness in manufacturing activity. Latest data points, all positive, baffling everyone as...

RBNZ likely to cut further while the RBA holds

Sep 04, 2015 11:09 am UTC| Insights & Views Central Banks

RBNZ is set to announce its rate decision on Thursday and it is almost certainly expected to cut the OCR by 25bps to 2.75%. Forecasts and language will probably imply one further OCR cut in October and RBNZ cuts depends on...

Firm USD after ECB meeting pushes gold price down

Sep 04, 2015 09:21 am UTC| Commentary Central Banks

Gold fell to a good $1,120 per troy ounce as a result of the ECBs press conference and is trading only slightly above this level this morning. In euro terms, the yellow precious metal held its own at around 1,010 per...

Fed not worried for turbulence in China and EM

Sep 04, 2015 07:47 am UTC| Commentary Central Banks

In the view of the markets a weak or strong labour market report might catapult the Feds decision in one of two contrasting directions just shortly before the September meeting: no more rate hikes this year or even two at...

ECB's QE extension likely in December

Sep 04, 2015 07:27 am UTC| Commentary Central Banks

The ECB is likely to be under increased pressure to act in view of the notable downward revision of the inflation outlook as the central bank expects the inflation rate fall to 1.5% in 2016. Moreover, the bank is...

BoE to raise interest rate at a pace of around 75bp annually

Sep 04, 2015 06:40 am UTC| Commentary Central Banks

Most MPC members are unlikely to feel comfortable with the near-term inflation outlook but the pickup in January should reduce concerns. In other words, the BoE can tick off the last but one of our boxes around the turn...