Deeper Analysis
United States on a Data Roll
November 16, 2011
Since Friday, a string of better-than-expected U.S. economic indicators have been reported and, along with a solid Japanese 3Q GDP report, has presumably helped to mitigate market reaction to the bad news coming out of Europe. Enjoy the data roll now because it is unlikely to extend for long. Treasury-reported international capital flows were considerably […] More
Central Bank Watch
Bank of England Quarterly Inflation Report
November 16, 2011
The striking thing about today’s report is not that lower paths for growth and inflation are projected now than in the August Report but how much more bearish in the intervening three months. The forecasts assume unchanged monetary policy, that is a 0.5% Bank Rate and GBP 275 billion of quantitative easing versus the same […] More
Central Bank Watch
Bank of Japan
November 16, 2011
The Bank of Japan issued a more somber economic assessment, flagging near-term depressants due to slower global growth, the yen’s appreciation, and the flooding in Thailand. However, today’s statement, issued after the Policy Board had met over two days for a total of five hours and 50 minutes, left the policy settings as they’ve been. […] More
Central Bank Watch
Sri Lankan Repo Rate Held Steady at 7.0% Despite Lower Inflation
November 16, 2011
Sri Lankan inflation dropped to 5.1% in October from 6.4% in September and a peak in mid-2008 of 28.2%. Nonetheless, officials at the Central Bank of Sri Lanka voted to retain a 7.0% repo rate and an 8% reserve requirement after discussing the merits of easing. The repo rate was last cut in January 2011 […] More
New Overnight Developments Abroad - Daily Update
A Foul Mood to Start the Final Eighth of 2011
November 16, 2011
Investors continue to view European prospects very dimly and to opt for low-risk assets. This helped the dollar, yen and Japanese bonds but hurt stocks and commodities. The ECB via the SMP program has reportedly been buying Italian and other troubled debt, but monetary officials continue to oppose expressing a readiness to engaged in “unlimited” […] More
