Central Bank Watch
Czech National Bank Cuts Key Rates by 25 Basis Points
August 6, 2009
The benchmark two-week repo rate was lowered to 1.25% from 1.50% as expected in the Czech Republic. This was the sixth reduction, totaling 250 basis points, of the cycle following cuts of 25 basis points a year ago, 75 bps on November 7, 50 bps on February 5, and 25 bps on May 7. The […] More
Central Bank Watch
ECB Policy Held Steady
August 6, 2009
No significant surprises emerged from the ECB statement and press conference. Key interest rates (a 1.0% refinancing rates sandwiched between a 0.25% deposit rate and a 1.75% marginal lending rate) were retained as expected. A EUR 60 billion program of covered bond purchases was not changed, either, and growth and price developments have not surprised […] More
Central Bank Watch
Bank of England Widens Asset Purchase Scheme by Another Gbp 50 Billion, Sterling Softer on News
August 6, 2009
The BOE Bank Rate was kept at 0.5% as expected and where such has been since March. This was expected. But in a somewhat surprising move, the Monetary Policy Committee also extended its program of asset purchases (mostly gilts) to Gbp 175 billion. This was the second expansion. A Gbp 75 billion program was outlined […] More
New Overnight Developments Abroad - Daily Update
New Overnight Developments Abroad: Awaiting Bank of England and ECB Decisions
August 6, 2009
The dollar has firmed 0.5% against the kiwi, 0.4% against the yen, 0.2% versus the Canadian dollar and 0.1% against the euro and Swiss franc. Sterling and the Aussie dollar are unchanged against the U.S. dollar. Stocks are mostly but not entirely higher. The Nikkei advanced 1.3%, and stocks in Europe are up 0.7% in […] More
