Currency Markets in the News
Euroland Growth
June 5, 2008
The euro area’s PMI scores are no longer comfortably above the 50 breakeven point between expansion and contraction. The composite index for both manufacturing and services was at 51.1 in May compared to 57.5 last July before the financial market crunch, and it averaged 51.5 in April-May, down from a mean score of 52.1 in […] More
Central Bank Watch
ECB Warns of Possible Rate Hike in 3Q08
June 5, 2008
Today’s ECB statement and press conference were the most hawkish since last August. The decision not to raise rates was not reached easily. There was no consideration of reducing them, and some council members argued either for tightening policy now or very soon. In this non-unanimous discussion, not everyone felt that current rates are appropriate. […] More
Central Bank Watch
Bank of England Retains 5.0% Bank Rate
June 5, 2008
British monetary policy was left unchanged in June as expected but not without some controversy. There was no statement for immediate release. Minutes of this week’s meeting will be released on June 18th. Previous rate reductions of 25 bps from a peak of 5.75% were implemented last December, February, and April. But CPI inflation is […] More
New Overnight Developments Abroad - Daily Update
New Developments Abroad
June 5, 2008
The dollar jumped 2.0% against the kiwi after the RBNZ governor said New Zealand’s central bank rate likely will fall later in 2008. The dollar also rose 0.8% against the yen and Swissy, 0.5% against the Australian dollar, 0.4% against sterling, 0.3% against the euro and 0.2% against the Canadian dollar. Bernanke’s verbal intervention is […] More
