Central Bank Watch
50-Basis Point Brazilian Rate Hike Matches Expectations
March 2, 2011
COPOM, the Bank of Brazil’s policy-making committee, increased its Selic rate to 11.75% from 11.25%, bringing cumulative tightening over the past eleven months to 300 basis points in five steps. Such reverses 60% of the easing done during the first seven months of 2009, which also was implemented in five steps. A brief statement from […] More
Central Bank Watch
An Important ECB Press Conference Tomorrow
March 2, 2011
The ECB will not raise its 1.0% refinancing rate tomorrow, nor modify the deposit rate and marginal lending rate that symmetrically flank it at 0.25% and 1.75%. A signal of an imminent tightening next month also seems doubtful. The last rate change was made in May 2009. Officials are expected to upgrade the inflation risk […] More
Central Bank Watch
Polish Monetary Policy Left Unchanged in Possible Close Call
March 2, 2011
Narodowy Bank has implemented just one hike of its reference rate thus far, a 25-basis point increase on January 19 to 3.75%. From June 2008 to November 2008, the rate had crested at 6.0%, still 225 basis points above the current level. Monetary officials target CPI inflation in the medium term at 2.5%, give or […] More
New Overnight Developments Abroad - Daily Update
European Currencies Stronger against Dollar and Yen
March 2, 2011
The dollar fell 0.4% against the euro and Swiss franc and 0.3% relative to sterling. The greenback is unchanged relative to the Canadian and Australian dollars as well as the yen. The dollar has risen 0.7% versus the kiwi and 0.1% against the yuan. Middle Eastern buying of euros has been reported. Libya is closer […] More
