Central banks news

RBA Minutes Reveal Strong Conviction to Further Easing in November

RBA’s minutes for the October meeting offered more supports that further easing will be rolled out soon. Potential measures include rate cuts and asset purchases. The bottom line is that the policy rate will not go negative. Assistant Governor Christopher ...
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ECB Minutes Tilted to Dovish Side

The message sent from the ECB minutes came in more dovish that the meeting statement released a few weeks ago. Policymakers were concerned about the inflation outlook more than previously expected. Despite upward revisions to the economic projections, the members ...
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FOMC Minutes Reveal that Upgrade on Economy Greatly Hinged on More Fiscal Stimulus

The minutes for the September FOMC meeting reveals that the members generally agreed to adopt the new monetary policy framework and change the forward guidance in the way presented in the statement. While the economic projections were upgraded in the ...
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RBA Left Rates Unchanged at 0.25%. Hinted to Add Stimulus to Support Job Market

As widely anticipated, RBA left the cash rate unchanged at 0.25% at the October meeting. The yield curve control target also stays at 0.25%. This is the 7th consecutive month that the central bank has kept the monetary policy unchanged ...
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RBA Preview: Preparing the Market for Rate Cut and QE Expansion

RBA will likely use the opportunity of the upcoming meeting to prepare the market for more monetary easing in November. The stimulus measures due later this week should include reduction in the cash rate, yield curve control (YCC) target and ...
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CFTC Commitments of Traders – NET SHORT in USD Index Futures could Trim Next Week on Strong Rebound in Greenback

As suggested in the CFTC Commitments of Traders report in the week ended September 22, NET SHORT for USD Index futures increased -906 to 9 146 contracts. Speculative long positions dropped -1 424 contracts and short positions slipped -518 contracts ...
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SNB Expects Deflation to Stay Until 2Q21. Pledged to Intervene Exchange Rate as CHF Remains Highly Valued

As widely anticipated, SNB left the policy rate unchanged at -0.75%. It reiterated the view that Swiss franc remained “highly valued” and the commitment to intervene in the FX market. The central bank will publish data on money and foreign ...
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RBNZ Hints to Add Alternative Easing in Coming Months

As widely anticipated, RBNZ left the OCR unchanged at 0.25% today. The cap of Large Scale Asset Purchase (LSAP) program, a.k.a. QE, also stays at NZD 100B. Meanwhile, the central bank reiterated the forward guidance that the OCR will be ...
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SNB Preview : FX Intervention the Key Monetary Policy Tool to Curb CHF’s Strength

We expect SNB to leave the policy rate unchanged at -0.75%. While it does not rule out the possibility of further rate cut, the central bank’s main tool is FX intervention to curb excessive strength in Swiss franc. Economic contraction ...
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RBNZ Preview – Waiting for More Hints on Negative Rate

After a big move in August, the RBNZ will likely leave the OCR unchanged at 0.25% and the cap of Large Scale Asset Purchase (LSAP) unchanged at NZD 100B. It is, however, expected to offer more indication on the alternative ...
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BOE Voted 9-0 to Keep Policy Unchanged. Signaled to Discuss with Regulator about Negative Rate Implementation

BOE voted unanimously to leave the Bank rate unchanged at 0.1%. The asset purchase program also stayed at 745B pound in September. At the meeting, policymakers acknowledged stronger-than-expected recovery in the UK. Yet, they reiterated that the outlook remained highly ...
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Fed Shifted to Outcome-Based Forward Guidance, Upgraded Economic Projections

The Fed left the policy rate unchanged at 0-0.25% and the asset purchases program unchanged in September. There are substantial changes in the policy statement, reflecting the formal adoption of average inflation targeting. Updated economic projections revealed a more optimistic ...
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