Archive for September 2010

Deeper Analysis

September and Third Quarter in Figures

September 30, 2010

The dollar performed poorly in September and the third quarter especially against the euro and Australian dollar.  A look at the table below makes it hard to argue that Japan’s intervention failed.  The yen’s rise against the dollar of less than 1.0% was much smaller than the advance of other currencies.  China finally put its […] More

Deeper Analysis

North American GDP and Unemployment

September 30, 2010

Canada and the United States released subdued GDP figures today. Canadian July GDP slipped 0.1%.  Although negative growth in July had been expected, this was the first decline in eleven months, and weakness was pervasive.  Manufacturing and construction respectively contracted by 0.7% and 0.5%.  Energy, utilities, retail and wholesale turnover fell by 0.6%, 0.4%, 0.5% […] More

Central Bank Watch

Taiwan Gets a Second Rate Hike

September 30, 2010

The Taiwanese central bank benchmark rate was lifted by 12.5 basis points to 1.5%.  This as-expected move follows one of similar size undertaken on June 24.  The rate had been at a 55-year low of 1.25% following seven reductions totaling 362.5 basis points administered from June 2008 through February 2009.  Taiwan has no consumer price […] More

New Overnight Developments Abroad - Daily Update

Third-Quarter Wind-Down

September 30, 2010

Many data releases arrived on this final day of the third calendar quarter.  Sentiment is better toward Europe and more guarded about Japan and the United States.  ECB 12-month and 6-month loans totaling EUR 93 billion are expiring.  EUR 28 billion of 3-month ECB liquidity is not getting rolled over, as a EUR 104 billion […] More

Central Bank Watch

Polish Monetary Policy Unchanged as Expected

September 29, 2010

Narodowy Bank left its seven-day reference rate at 3.5%, the level since June 2009.  A released statement anticipates moderate economic growth, limited wage and price pressures, and the possibility of global growth depressants.  Real GDP rose 3.5% in the year to 2Q10, while the latest 12-month rise in consumer prices of 2.0% is a half percentage […] More

Central Bank Watch

Monetary Policy Unchanged in Romania

September 29, 2010

In another monetary policy announcement, the National Bank of Romania retained a key 6.25% policy rate.  That has been the level since a 25-basis point reduction on May 4 and cuts of 50 bps in each month of the first calendar quarter of 2010.  Monetary policy eased later in Romania than in many other countries.  […] More

Central Bank Watch

No Change in Russia’s 7.75% Refinancing Rate

September 29, 2010

The Bank of Russia left its benchmark rate unchanged in spite of an acceleration of inflation to a 12-month pace of 6.7% in September from 6.1% in August, further ruble depreciation and some evidence of a rise in inflation expectations.  The bank’s decision was anticipated by analysts.  Policy continues to be oriented toward the promotion […] More

Central Bank Watch

State Bank of Pakistan Raises Policy Discount Rate to 13.5% from 13.0%

September 29, 2010

Today’s 50-basis point tightening of Pakistani monetary policy follows an initial rate hike of similar magnitude near end-July.  No other rate changes have been made in 2010, and a cut of 50 bps was implemented last November.  Catastrophic flooding has aggravated Pakistan’s pre-existing inflation problem.  Consumer prices rose 2.5% on month and 13.2% on year […] More

New Overnight Developments Abroad - Daily Update

Euro Above $1.3600

September 29, 2010

The dollar is 0.3% weaker against the euro, Australian dollar and Canadian dollar.  The greenback also lost 0.2% against the yen and 0.1% relative to the Chinese yuan but edged up 0.1% versus the Swiss franc.  Sterling and the kiwi are unchanged against the dollar. Equities rose 1.2% in Hong Kong, 1.1% in Thailand, 0.7% […] More

Deeper Analysis

Bank of Japan "Tankan" Business Survey: Review

September 28, 2010

Business sentiment improved clearly between June and September.  A marginal deterioration had been predicted in the June corporate survey, but analysts had discounted those projections and were looking for September readings more or less consistent with what the Bank of Japan has just announced.  As in the June survey, today’s report anticipates weaker readings in […] More

css.php