Foreign Exchange Insights and Next Week
Less Risk Aversion than in January
February 13, 2014
The Ary twins of January and February are wintry lot, and the season has been dished out in very abundantly in 2014 — so much so that it’s become very hard to interpret U.S. economic data. Under Janet Yellen, nonetheless, the Federal Reserve isn’t backing away from the measured and predictable scale-back of quantitative easing. […] More
Central Bank Watch
Swedish Riksbank Plans to Continue Current Accommodative Stance for Rest of 2014
February 13, 2014
The Riksbank’s Executive Board left its repo rate at 0.75% and also made no changes in its macroeconomic forecast and forward policy guidance. Following weak sub-1.0% GDP growth in both 2012 and 2013, growth prospects are much improved, with projected rises of 2.4% this year followed by 3.6% in 2015 and 2.8% in 2016. CPI […] More
Central Bank Watch
A Continuing Pause in Indonesian Monetary Tightening…
February 13, 2014
And some analysts are starting to wonder if further restraint will even be necessary. Three 25-basis point hikes of the BI Rate and two of 50 basis points apiece between June and November of 2013 raised the level from 5.75% to its current level of 7.5%. In response, the rupiah has shown recent stability after […] More
Central Bank Watch
2.5% Bank of Korea 7-Day Base Rate Retained
February 13, 2014
South Korean monetary policy has been steady for the past nine months. The last three central bank interest rate changes were all cuts of 25 basis points administered in July and October of 2012 and, most recently, May of 2013. A statement released after this year’s first monetary policy meeting reaffirmed the views of continuing […] More
New Overnight Developments Abroad - Daily Update
Aussie Labor Data Bummer
February 13, 2014
The Yellen senate testimony has been postponed as the U.S. faces another snow day. Australia’s jobless rate rose 0.2 percentage points to 6.0%, highest in slightly more than a decade and 0.6 percentage points greater than in January 2013. This increase was accompanied by an equally unexpected 3.7K decline in jobs (analysts were predicting a […] More
