Archive for December 3rd, 2010

Central Bank Watch

No Change in Indonesian Key Interest Rate

December 3, 2010

The benchmark interest rate of Bank Indonesia has been at 6.5% since a 25-basis point cut in August 2009, which culminated a nine-move, 300 basis point reduction begun in December 2008.  Bank Indonesia has not conformed to Asian norms.  GDP was 5.8% higher than a year earlier last quarter, and CPI inflation accelerated by a […] More

Foreign Exchange Insights and Next Week

Next Week

December 3, 2010

Central bank policy meetings are scheduled next week in Australia, Great Britain, Brazil, Canada, New Zealand, South Africa, Peru and South Korea.  The ECB monthly Bulletin will be released. The quantity of U.S. data releases will be on the light side and qualitatively second tier.  The list includes the monthly fiscal budget, a preliminary U. […] More

Foreign Exchange Insights and Next Week

It’s Complicated

December 3, 2010

Currency market dynamics have become more complicated and less predictable turning into the homestretch of 2010.  Discerning trend in December will not become any easier because December is a quirky month.  The closing of 2010 books elevates the importance of accounting considerations relative to decisions based on investment, trade, and speculation.  Trading volume thins around […] More

Deeper Analysis

U.S. and Canadian Labor Markets in November

December 3, 2010

The U.S. Department of Labor monthly jobs report threw cold water on market optimism that had been building for more than a month.  Whisper numbers were looking for jobs to climb by 200K or more.  Instead, such rose 39K and included the smallest advance in private sector workers in ten months.  For the first time […] More

Deeper Analysis

November PMIs: European Disadvantage Versus United States Narrows

December 3, 2010

In the United States and Europe, both manufacturing and non-manufacturing recoveries persisted into the latter half of the fourth quarter.  That’s signified in the table below by above-50 readings in all categories last month (the last row of the table).  However, the differential between the strength of the U.S. and Euroland recoveries narrowed. In manufacturing […] More

Central Bank Watch

Tighter Reserve Requirements in Brazil

December 3, 2010

COPOM, Brazil’s monetary policy committee, meets next Tuesday-Wednesday, having already lifted the benchmark Selic rate by 75 basis points each last April 28 and June 9 followed by 50 bps on July 21 but not at  at the subsequent meetings on August 31 and October 20.  In advance of next week’s meeting, reserve requirements were […] More

New Overnight Developments Abroad - Daily Update

Peripheral Bond Premiums Sharply Lower; It’s Jobs Data Day in the U.S.

December 3, 2010

The dollar is mostly lower, with losses of 0.5% against the Australian dollar, 0.3% versus the yen and sterling, and 0.2% against the Canadian dollar, kiwi, and euro.  Dollar-Swiss is an exception, rising 0.1%, and the yuan is steady against the greenback. In the Pacific Rim, equities rose 0.7% in the Philippines, 0.5% in Pakistan […] More

css.php