RBA Preview: RBA to Assess Economic Data and Prepare for Policy Tweak in July
The June RBA meeting will have little surprise, as the central bank has already planned to adjust yield curve control (YCC) and QE measures in July. This week, policymakers will discuss recent economic data and the economic impacts of the...
Kiwi Rallies as RBNZ Suggests that Rate Hike can Come in as Soon as Next Year
The RBNZ delivered a less dovish message in May than a month ago. While leaving all monetary policy measures unchanged, it upgraded the inflation forecast and revised lower the unemployment rate. The central bank also pushed forward the first rate...
RBNZ Preview: Upgrading Economic Assessments to Reflect Stronger-than-Expected Recovery
Economic data released since the last meeting have continued to improve. We expect the RBNZ to upgrade economic assessments at the upcoming meeting, acknowledging recent positive developments. Yet, policymakers would continue to attribute the spike in inflation to temporary factors....
FOMC Minutes Revealed that Some Members Raised Discussion over QE Tapering
The minutes for the FOMC meeting in April revealed that policymakers discussed about QE tapering. This came in as a surprise to the market, sending USD higher and Treasury lower. Both the policy statement and the press conference of the...
RBA Minutes Reaffirmed Likelihood of QE Expansion in July
The RBA minutes for the May minutes reaffirmed our view that further expansion in the asset purchase program would be announced later this year. The most likely timing for the announcement would be July. Domestically, the members noted that the...
BOE Predicts Economy to Expand at Strongest Pace since WWII; Announces QE Tapering from this Month
At today’s meeting, the BOE voted unanimously to leave the Bank rate unchanged at a record low of 0.1%. Meanwhile, the central bank voted 8-1 to keep the asset purchase program at 895B pound, of which 875B pound is government...
BOE Preview: Economic Forecasts to be Upgraded, while QE Tapering to Begin in August
At the upcoming BOE meeting, we expect policymakers to vote unanimously to keep the Bank rate unchanged at 0.1%. They would also continue to buy up to 875B pound of UK government bonds and 20B pound of corporate debts. The...
RBA Keeps Policy Intact but Signals Amendments in July
The RBA left all monetary policy measures unchanged in May and reiterated that a rate hike would “unlikely to be until 2024 at the earliest”. However, the central bank upgraded economic projections and signaled that some amendments would be made...
RBA Preview: Upgrading Economic Assessment while Pledging to Expand QE Purchases
While the RBA is likely to leave all monetary policy measures unchanged at this week’s meeting, the quarterly Statement on Monetary Policy (due May 7) would be closely watched. We expect policymakers to upgrade economic assessments moderately and pledge to...
Fed Refrained from Giving Any Hint about QE Tapering
The Fed voted unanimously to leave the Fed funds rate target at 0-0.25%. It also decided to keep the asset purchases at US$120B per month. As expected, the Fed upgraded the economic assessments but continued to warn of downside risks....