Foreign Exchange Insights and Next Week
Next Week
September 12, 2014
The FOMC is expected to unveil new forward guidance language. Wednesday’s announcement will be accompanied by fresh macroeconomic forecasts and a Yellen press conference. Other central bank meetings are scheduled in South Africa, Switzerland, Norway, Malaysia, and Thailand. The Reserve Bank of Australia and Bank of England release minutes of their earlier meeting. Bank of […] More
Central Bank Watch
The Central Bank of the Russian Federation
September 12, 2014
Russian monetary officials decided to keep the key interest rate at 8.0% despite inflation of 7.7% versus a medium-term target of 4%. The monetary policy rate had previously been raised by 150 basis points in March and 50 bps each in April and July. A statement released today explains that elevated inflation stems from geopolitical […] More
Central Bank Watch
Bank of Korea
September 12, 2014
Officials at the Bank of Korea left their 2.25% repo rate at 2.25%. This decision had been expected, the the rate level constitutes a multi-year low. But whereas before, many analysts believed the downtrend had run its course after a 25-basis point cut in August (there were also cuts in November 2012 and May 2013), […] More
Central Bank Watch
Central Bank of Chile Reduces Key Interest Rate Again
September 12, 2014
There previously had been cuts in the overnight Chilean central bank interest rate of 25 basis points administered in October and November of 2013 plus February, March, July and August of this year. Yesterday’s cut was also by 25 basis points and puts the benchmark now at 3.25%. The move was expected and indeed implied […] More
Central Bank Watch
Central Reserve Bank of Peru Makes Third Interest Rate Cut
September 12, 2014
Peru’s monetary policy interest rate has been sliced to 3.5% from 3.75%, following 25-basis point cuts that were made in July and last November. A previous tightening trend between May 2010 and May 2011 had lifted the rate from 1.25% to 4.25%. A statement released by Peru’s Monetary Board warns that “this decision does not […] More
New Overnight Developments Abroad - Daily Update
Flurry of U.S. Data Awaited and More Central Bank Decisions Announced
September 12, 2014
U.S. retail sales, import prices and the U. Michigan consumer sentiment index get released today. The Central Bank of Chile cut its overnight interest rate by 25 basis points to 3.25% but express less certainty about more easing. Previous 25-bp cuts were made in August, July, March, February, November and October. Peru’s central bank also […] More
