
BoK to remain on hold for the rest of the year
Sep 10, 2015 23:16 pm UTC| Commentary Central Banks
BoK is expected to remain on hold for the rest of the year. It is believed that the market might have gone ahead of itself in expecting rate cuts for the following reasons: Won is much weaker now against the USD and...
Malaysia: Cash continues to push higher
Sep 10, 2015 22:59 pm UTC| Commentary
Risk metrics in Malaysia have trended higher as the currency weakness has deepened. Concerns about Ringgit have increased further due to Yuan devaluation, capital outflows, lower oil as well as increased political...

Asian central banks to issue policy updates just before the Fed
Sep 10, 2015 22:26 pm UTC| Commentary Central Banks
In addition to potential Fed effects, China macro risk will be the dominant influence upon Asian markets with potential spillover to the global market tone. Mondays updates for retail sales and industrial production will...
Canada's Q3 Growth and Inflation Dynamics
Sep 10, 2015 21:59 pm UTC| Commentary
Inflation and growth readings will further inform the debate over risks facing the Canadian economy and monetary policy next week. Wednesdays manufacturing sales print for July should post a solid rise and reinforce an...

EUR close to equilibrium but mind the ECB
Sep 10, 2015 21:33 pm UTC| Commentary Central Banks
Surprisingly, EUR is close to its equilibrium level on a trade weighted basis, and EUR/USD is also close to fair value of 1.16. Indeed the equilibrium estimate for EUR/USD at 1.16 is below the long-term average level of...

USD has room to strengthen despite overvaluation
Sep 10, 2015 21:21 pm UTC| Commentary
USD overvaluation appears large at 15%, raising some question on how much upside is left for USD. USD has room to strengthen further as the Fed enters a hiking cycle and considering that a decomposition of USD strength...
Hike or no hike, do not expect a dovish FOMC
Sep 10, 2015 20:59 pm UTC| Commentary Central Banks
The long-awaited September FOMC meeting is finally upon us. The Fed is expected deliver a rate hike but package it in a dovish message. The dots are likely to show only one rate increase this year, signalling that the...