Central Bank Watch
South Korean Monetary Policy Meeting
September 8, 2011
The Monetary Policy Board had five times earlier hiked the key central bank rate by 25 basis points, doing such in July and November of 2010 and January, March and June of this year. While expressing confidence in future South Korean growth, a statement after officials again declined to tighten further observed that “uncertainty as […] More
Central Bank Watch
Philippines
September 8, 2011
Bangho Sentral ng Pilipinas also has put policy tightening on pause. Only a quarter of 200 basis points of ease from December 2008 to July 2009 has been reversed following hikes of 25 bps each on March 24 and May 5 of 2011 in both the key borrowing and lending rates, which are presently at […] More
Central Bank Watch
Bank Indonesia Leaves Key Rate at 6.75% But Takes Other Action to Guard Against Global Risks
September 8, 2011
Indonesian monetary tightening has lagged the aggressive policy response of many other Asian central banks. Only one rate hike had been implemented, a 25 basis point increase of the key reference rate to 6.75% in February 2011 following 17 consecutive decisions that retained the cyclical trough of 6.5%. This month’s meeting retained a 6.75%. In […] More
Central Bank Watch
Polish Monetary Tightening Paused
September 8, 2011
On September 7, the Narodowy Bank left its key reference rate at 4.5% and released a statement indicating that four rate hikes earlier this year should be sufficient to return inflation to target of 2.5% in the medium term. July on-year inflation was 4.1%. Rate cuts between November 2008 and June 2009 totaled 350 basis […] More
Central Bank Watch
ECB September Press Conference Unveils Modifications
September 8, 2011
The Governing Council voted unanimously not to change its three key rates, a 1.5% refinancing rate flanked by a 0.75% deposit rate and a 2.25% marginal lending rate. New and lower staff macroeconomic projections were released. The table below compares such to earlier quarterly forecasts by the staff. GDP 2011 GDP 2012 CPI 2011 […] More
Central Bank Watch
Bank of England on Hold
September 8, 2011
The Monetary Policy Committee was probably unanimous in voting not to change its 0.5% Bank Rate. A 9-0 vote last month was the first unanimous decision on the key central bank rate since May 2010. Amid mounting financial market tensions and slower global demand, the committee in August had agreed that the balance of medium-term […] More
New Overnight Developments Abroad - Daily Update
Spotlight on Central Banks and Obama
September 8, 2011
The dollar is 0.6% higher against the Swiss franc, which is trading at 1.2141 per euro. Swiss National Bank officials intend to unilaterally prevent the franc from strengthening past 1.2000/EUR. The dollar has risen 0.3% against the euro and 0.1% versus the Australian dollar but is 0.6% weaker against the kiwi and down 0.2% relative […] More
