Norway CPI and the Norges Financial Stability Report

Nov 08, 2015 23:13 pm UTC| Commentary

In Norway, the Norges Bank kept policy unchanged last week, in line with the market expectations. Governor Olsen noted that the Norges would be re-assessing its forecasts at the December policy meeting after observing...

Sweden inflation data and Riksbank minutes released

Nov 08, 2015 22:59 pm UTC| Commentary Central Banks

The Riksbanks negative rate policy is proving effective in stabilizing medium-term inflation expectations and has recently fuelled an uptick in inflation. CPIF seen averaging around 1.65% y/y in H1 2016, slightly below the...

Positive employment data to support AUD outperformance vs. EUR amid broad USD strength

Nov 08, 2015 22:32 pm UTC| Commentary

The only notable domestic data release is the employment report on Thursday. A rebound is expected in October employment of 20K given forward indicators of hiring remains positive. The unemployment rate is expected to tick...

USDJPY driven by external factors, but also eye on wage data

Nov 08, 2015 22:20 pm UTC| Commentary

Rising Fed hike expectations and a continued improvement in global risk assets are supporting USDJPY as it recovered the highest level since late August. The main drivers of USDJPY will likely remain the external factors,...

Dovish BoE and soft employment report keeping GBP under pressure

Nov 08, 2015 21:58 pm UTC| Commentary Central Banks

Last weeks BoE communication was dovish, highlighting the MPCs anxiety about the external environment, particularly in EM economies and the downside risks it poses to the UKs domestic outlook. The Bank revised its growth...

Improving EA data unlikely to deter ECB from further easing

Nov 08, 2015 21:40 pm UTC| Commentary Central Banks

The EUR underperformed last week as a plethora of US data, including last Fridays employment report and recent Fed speak, increased market expectations for a December Fed rate hike. Furthermore, more policy accommodation...

FOMC to begin the monetary normalization process

Nov 08, 2015 21:29 pm UTC| Commentary Central Banks

The USD is poised to resume its upward trend as markets continue re-pricing further hikes for the Fed for 2016. Although the probability of a December liftoff is very high (90%), Fed Funds implied probability of increasing...