Central banks in action of regulating currencies, why not Fed?

Sep 01, 2015 13:22 pm UTC| Commentary Central Banks

We have been arguing that normalization of monetary policies will be driving markets for years to come. We expect the Fed to lead the way. Other G10 central banks are likely to continue moving to the opposite direction for...

No surprises from RBA

Sep 01, 2015 06:48 am UTC| Commentary Central Banks

The RBA was not expected to change its key rate today, and it didnt. It is not a non-event. What was decisive was how prominent a position RBA governor Glenn Stevens would give to the developments in China in his...

Bank of Indonesia to be on hold through 2015

Sep 01, 2015 06:40 am UTC| Commentary Central Banks

In response to the recent rise in currency volatility, Bank of Indonesia (BI)indicated at its August meeting that it would continue to ensure orderly market conditions through market intervention and, if needed, deploy...

ECB unlikely to change its bank rate

Sep 01, 2015 06:19 am UTC| Commentary Central Banks

Euro area core rate (ex food, energy, alcohol, tobacco) remained at 1% y/y and headline inflation rate remained at 0.2% y/y in August, according to the flash estimate, despite the steep drop in oil prices. All in all,...

It is likely to get harder for BOJ to maintain QQE

Sep 01, 2015 05:24 am UTC| Commentary Central Banks

Although demand for defensive assets is rising due to a global equity rout brought by the decline in Chinese stocks and sudden devaluation of the CNY, the JGB market is relatively stable at this point. It is because JGBs...

RBA leaves cash rate at 2% as lower AUD supports growth

Sep 01, 2015 04:56 am UTC| Commentary Central Banks

For the second time in as many months the Reserve Bank of Australia signaled in its cash-rate statement that the Australian dollar was at a level which was assisting economic growth rather than hampering it. The Reserve...

Less certainty on September Fed hike

Sep 01, 2015 04:45 am UTC| Commentary Central Banks

The July FOMC statement highlighted the bar for hikes is not high with the Committee only need to see some further improvement in labor market improvement before they will be comfortable raising rates. However, uncertainty...