Central banks news

BOE Preview- Upbeat about Recent Economic Developments, but Cautious over Brexit

Following the August rate hike, BOE would likely keeps its powder dry at least until the Brexit Withdrawal deal is finalized. Macroeconomic indicators released since the last meeting contain both upside and downside surprises. Yet, the overall developments should keep ...
Read More

ECB to Affirm QE Reduction from October and Downgrade Inflation Forecasts

While it has been widely anticipated that this week’s ECB meeting would be non-eventful, it is closely watched. We expect the central bank to reaffirm that the monthly asset purchases would be halved in size (from 30B euro to 15B ...
Read More

BOC Affirmed the Case of October Rate Hike, Downplayed Strong Growth and Inflation

BOC left the policy rate unchanged at 1.5% in August. Comments from Governor Stephen Poloz also signaled that a rate hike in October is highly likely. Yet, the market interpreted the message sent in the meeting was more cautious than ...
Read More

RBA Left Cash Rate Unchanged for 25 Months in a Row

RBA left the cash rate unchanged at 1.5% for a 25th consecutive month. Similar to previous meetings, policymakers were upbeat over the growth and the employment outlook, while acknowledging soft wage growth and inflation. In short, the central bank is ...
Read More

BOC Preview – Growth Upbeat, Just Not Justifies Another Rate Hike Until October

Recent upbeat macroeconomic data has lifted speculations for a BOC rate hike in September. Yet, we do not expect the developments since the last meeting should change the central bank’s gradual normalization policy. Policymakers should bear in mind the lesson ...
Read More

Powell Signals He Would be More Cautious in Face of Uncertainty

Weaker USD, lower Treasury yields, higher equities… Market reactions showed that Fed’s chair Jerome Powell’s speech at Jackson Hole symposium was interpreted as “dovish”. Discussing about “Monetary Policy in a Changing Economy”, Powell revealed the challenges of navigating the stars ...
Read More

FOMC to Continue Rate Hike Despite Trump’s Criticism

The minutes for the July FOMC meeting affirmed that the policy rate is prone to increase in September, notwithstanding Trump’s pressure. The members remained upbeat over the economic growth outlook but warned on downside risk due to intensifying trade tensions ...
Read More

RBA Too Early to be Confident over Consumer Spending

The RBA minutes of the August meeting contained little news, in particular after release of the quarterly Statement of Monetary Policy two weeks ago and Governor Philip Lowe’s parliamentary testimony last week. The minutes reiterated confidence over domestic economic development, ...
Read More

RBNZ Delays Timing for Rate Change and Inflation to Reach +2%, Kiwi Slumps

RBNZ’s August statement comes in more dovish than we had anticipated. While leaving the OCR unchanged at 1.75%, the members pushed backward expectations for the next interest rate adjustment. Moreover, they pushed back the timing for inflation to reach the ...
Read More

RBA Keeps Policy Rate at Record Low for Two Years; Might Downgrade 2018 Inflation Forecast

RBA left the cash rate unchanged at 1.5% for the 22nd meeting today. The accompanying statement continued to deliver a “neutral” tone on the future path of the monetary policy. Since the last meeting, domestic economic growth has stayed, and ...
Read More

RBNZ Preview – Policy Rate On Hold, Overall Tone Neutral or Slightly Dovish

At the August 9 meeting (this Thursday), we expect RBNZ to leave the OCR unchanged at 1.75% and deliver a neutral to slightly dovish policy statement. Since the June meeting, data showed that economic growth moderated while inflation picked up ...
Read More

BOE Review: Unanimous Rate Hike Decision Fails to Revive Pound

BOE surprisingly voted unanimously to raise the Bank rate, by +25 bps, to 0.75%. This marks the first increase since last November and the second since global financial crisis. The Committee revised higher forecasts for GDP growth and inflation for ...
Read More
Loading...