New Overnight Developments Abroad - Daily Update
Stronger Kiwi and Aussie Dollar
April 22, 2014
The U.S. dollar’s main overnight moves were declines of 0.5% against the New Zealand dollar and 0.4% versus the Aussie dollar, the latter in spite of another protesting comment from Australia’s Treasurer about the currency’s excessive strength and the central bank’s disinclination to ease further. Otherwise, the dollar is unchanged against the euro and Swissie, […] More
New Overnight Developments Abroad - Daily Update
Easter Monday
April 21, 2014
New Zealand, Australia and much of Europe are closed for Easter Monday. The dollar is unchanged against the loonie and sterling, up 0.2% versus the yen and Swissie, up 0.1% relative to the yuan, kiwi and euro and down 0.1% against the Australian dollar. The ten-year U.S. Treasury and Japanese JGB yields are at 2.71%, […] More
Foreign Exchange Insights and Next Week
Next Week
April 19, 2014
Another holiday-interrupted week lies ahead. Australia and many European centers such as Britain, Germany, France and Italy will remain shut on Monday for Easter Monday. Then next Friday, Australian and New Zealand markets will be closed for Ansac Day. Central bank meetings are scheduled in Thailand, New Zealand, Turkey, Russia, Colombia and Mexico. The Bank […] More
New Overnight Developments Abroad - Daily Update
Most Markets Closed for Good Friday Observances
April 18, 2014
The dollar is unchanged against the euro, Swissie, sterling, and yen. The U.S. currency is down 0.2% vis-a-vis the kiwi and 0.1% relative to the Australian dollar and yuan. The loonie has edged 0.1% lower. Japan’s Nikkei rose 0.7%. The 12-month rise in Chinese property prices, 7.7% in March after 8.7% in February, was at […] More
Central Bank Watch
National Bank of Serbia Monetary Policy Not Changed
April 17, 2014
As also decided at prior meetings on January 16, February 13, and March 6, the Executive Board left its one-week repo rate unchanged at 9.5%, striking a balance between protecting financial stability and securing growth with price stability. The key central bank interest rate had been cut 150 basis points in the final quarter of […] More
New Overnight Developments Abroad - Daily Update
Spoken Words
April 17, 2014
Bank of Japan Governor Kuroda reiterated his upbeat view that recovery will resume soon after the initial setback this quarter caused by a consumption tax. While expressing satisfaction with current policy settings, he also indicated a readiness to augment stimulus if such becomes necessary. The Bank of Japan released results of its quarterly branch managers […] More
Foreign Exchange Insights and Next Week
Emerging Market Currencies Is Where the Action Lies
April 16, 2014
The unremarkable changes in dollar values against other advanced economy currencies has been a frequent theme lately of the weekly currency market essay. Regrettably, that stability has continued in April, where month-to-date dollar declines amount so far to 1.2% against the Aussie dollar, 1.0% versus the yen, 0.8% relative to sterling, 0.3% vis-a-vis the loonie […] More
Central Bank Watch
Bank of Canada Keeps 1.0% Overnight Interest Rate Target, Calling Policy Stance Appropriate
April 16, 2014
The third scheduled interest rate announcement of 2014 coincided with the release of a new Monetary Policy Report. Estimates for 2016 have been added to the Bank of Canada’s macroeconomic forecasts. While core inflation is seen hovering at 1.2% in the first half of this year and not returning to the 2.0% target until the […] More
New Overnight Developments Abroad - Daily Update
Lots of Data and a Better Tone in Equities
April 16, 2014
Japan’s Nikkei catapulted 3.0% higher, and stocks so far in Europe are up by 2.0% in Italy, 1.1% in Spain, 0.9% in France, 0.8% in Germany, 0.5% in Switzerland and 0.3% in Britain. In other selected markets around the Pacific Rim, stocks gained 0.6% in Australia, 0.3% in New Zealand, 0.2% in Singapore and 0.1% […] More
Central Bank Watch
A Three-Percentage Point Ukraine Discount Rate Hike
April 15, 2014
On Monday, the National Bank of Ukraine Board raised the discount rate to 9.5% from 6.5%. Civil unrest and meddling by Russia in the internal affairs of Ukraine have weighed heavily on the hyrvnia, lifting CPI inflation nearly threefold to 3.4% in March from the month before, and more acceleration is likely. This week’s rate […] More
