ECB Review – Hinting Easing Without Giving Details
The July ECB meeting aims at preparing the market for further easing in September. As expected, the members hinted that interest rate could fall to lower level. They also discussed about the possibility of restarting QE and the two-tiered interest...
ECB Preview – Expecting Change in Forward Guidance and Hints on QE Resumption and Tiering
We expect ECB to implement more easing measures to stimulate the economy, and the timing would likely be in September. The July meeting, scheduled later this week, would be used to prepare the market further the easing package. Over the...
RBA’s July Minutes – Cutting Rate to Weaken Aussie and Lower Unemployment Rate
RBA’s minutes for the July meeting revealed that the objective for lowering interest rate in July again was bringing down the unemployment rate and lowering the exchange rate. Unlike the June minutes, the central bank had not hinted more rate...
Dovish FOMC Minutes Heighten the Case for July Rate Cut
The FOMC minutes for the June meeting maintained a dovish tone, paving the way for a Fed funds rate cut later this month. The member generally acknowledged downside risks to growth have intensified while heightened uncertainty, in particular in trade...
BOC Left Rate Unchanged at 1.75%. Cautious about Trade But Overall Tone Stays Neutral
BOC left the policy rate unchanged at 1.75% yesterday and maintained a neutral tone. Policymakers turned more cautious about the impact of trade tensions on economic activities and noted that global interest rates have been lower over the past months....
BOC Preview – Not Following Fed’s Footstep
BOC is expected to leave the policy rate unchanged at 1.75% this week, and for the rest of the year. Data flow since the last meeting has remained resilient, offering the central bank more room to take a wait and...
RBA Lowers Policy Rate to Fresh Record Low of 1%
As widely anticipated, RBA lowered the cash rate for a second consecutive month in July. After the -25 bps cut, the policy rate has reached a fresh record low of 1.75%. It is just the beginning of RBA’s new round...
RBA Preview – Another -25 bps Rate Cut Expected This Week
We expect to RBA to cut the cash rate, by -25 bps, to 1% in July. Although this would be earlier than RBA’s projection in the May SoMP, it is largely in line with market expectations, which has priced in...
RBNZ Review – Stand Pat and Stay Cautions
NZDUSD climbed higher after RBNZ left the OCR unchanged at 1.5%, a well-anticipated move. The members maintained a dovish tone, but not more dovish than in the previous meeting. Although the central bank indicated that interest rates might need to...
RBNZ Preview – Maintaining Cautious Tone to Pave Way for Further Cuts
After lowering the policy rate by -25 bps to 1.5% in May, RBNZ would likely remain on hold this month. Domestic economic developments came in largely consistent with policymakers’ projections. Yet, global economic outlook remains uncertain and major central banks...