Deeper Analysis
U.S., Canadian and Euro Area CPI Inflation and Some Thoughts on Deficit Reduction
December 20, 2011
Whereas on-year total U.S. consumer price inflation in November of 3.4% was a half percentage point above the Canadian pace of 2.9%, those neighboring North American economies had similar underlying or “core” inflation rates of 2.2% and 2.1%, respectively. Total inflation over the past five years averaged 2.3% per annum in the United States, 0.2 […] More
Central Bank Watch
Hungary Gets a Fifth Base Rate Increase
December 20, 2011
In response to heightened investor perceptions of Hungarian country risk, the Magyar Nemzeti’s base rate has been raised by 50 basis points for the second time in three weeks. Previous increases of 25 bps apiece were implemented in March and December of 2010 as well as January of this year. Moody’s cut its rating on […] More
Central Bank Watch
Swedish Riksbank Engineers First Repo Rate Cut since July 2009
December 20, 2011
Sweden’s repo rate has been reduced to 1.75% from 2.0% in a move that analysts anticipated. Seven previous rate increases of 25 basis points apiece had been implemented in June, September, October and December of 2010 and February, April and July of this year. The Riksbank Executive Board also issued new guidance for future changes […] More
New Overnight Developments Abroad - Daily Update
For a Change Some Good News to Lift Risk Appetite
December 20, 2011
The dollar lost 1.0% against the Australian dollar, 0.9% versus the kiwi and sterling, 0.6% relative to the loonie, euro and Swissie, and 0.1% against the yen. The yuan is steady. Pre-Christmas thin trading volume has arrived, so feedback from the market needs to be taken with a grain of salt. The German Dax and […] More
