Foreign Exchange Insights and Next Week

Next Week

September 14, 2018

Central Banks: Monetary policy reviews in Japan, Brazil, Switzerland, Norway, South Africa, Hungary, and Thailand. Minutes of the last Reserve Bank of Australia policy review to be published. RBA Kent and ECB President Draghi speak publicly. Holidays and Special Events: Japan’s Respect for the Aged Day on Monday. India’s Islamic New Year (Moharram) on Thursday. […] More

Dollar since the Bankruptcy of Lehman Bros.

September 9, 2018

The singular event in the transformation of the financial crisis of 2007 into the Great Recession occurred ten years ago this week when U.S. Treasury and Fed officials let Lehman Brothers fail rather than fashion an aid package as they had done previously that year for other institutions. Compared to its closing levels on September […] More

Next Week

September 7, 2018

Central Banks: Monetary policy reviews at the European Central Bank, Bank of England, and in Turkey, Russia, Argentina and Peru. Publication of the Federal Reserve Beige Book on U.S. regional economic conditions. Bostic, Rosengren and Bullock of the Fed will be speaking publicly. So will ECB President Draghi and Bank of England Governor Carney at […] More

Next Week

August 31, 2018

Holidays: U.S. and Canadian Labor Day on Monday. Brazilian Independence Day on Friday. Central Banks: Monetary policy reviews in Canada, Serbia, Australia, Ukraine, Poland, Malaysia, Sweden, and Chile. Fed officials speaking publicly next week to include Evans, Williams, Kashkari, Rosengren, Mester and Kaplan. Governor Lowe of the Reserve Bank of Australia, Deputy Governor Wilkins of […] More

Next Week

August 24, 2018

Central Banks: Monetary policy reviews in Iceland, Israel and South Korea. The annual central banking symposium in Jackson Hole, WY winds up on August 25th. Bank of Governor Poloz and Bank of Japan Board member Susuki speak publicly. British Holiday: Late summer bank holiday on August 27. Scheduled U.S. Economic Data Releases: GDP, personal income […] More

U.S. Trade Policy and the Dollar

August 20, 2018

Even as a candidate in 2015-16, President Trump identified reducing the U.S. merchandise trade deficit as a top economic policy goal. There have been several other U.S. administrations in the floating exchange rate era that have taken steps to cut America’s external imbalance, but the Trump administration is taking an approach that hasn’t put the […] More

Next Week

August 17, 2018

Holiday and Special Event: The Islamic Festival of the Sacrifice will be observed Wednesday in countries such as Indonesia, Singapore, and India. The Kansas City Federal Reserve’s sponsored symposium in Jackson Hole, Wyoming runs from August 23 through August 25. This year marks the 40th anniversary of this annual gathering of top central bankers, economists […] More

Next Week

August 10, 2018

Central Banks: Monetary policy reviews in Norway and Indonesia. Reserve Bank of Australia Governor Lowe delivers semi-annual parliamentary testimony. Holidays: Assumption Day observed Wednesday in a few European countries. Indonesian Independence Day on Friday. Scheduled U.S. Data Releases: Quarterly productivity and unit labor costs. Monthly retail sales, industrial production, capacity usage, NAHB housing index, Empire […] More

Spotlight on Sterling

August 6, 2018

As a former hegemonic reserve currency with enormous residual offshore holdings, sterling is intrinsically susceptible to being shoved around disproportionately whenever favorable or unfavorable fundamental economic shifts arise. From $2.80 prior to the November 1967 devaluation, the pound slid to a low of $1.55 less than a decade later in October 1976 and touched an […] More

Next Week

August 3, 2018

Central Banks: Central banks hold monetary policy reviews in Australia, New Zealand, Thailand, The Philippines, Peru, Romania and Serbia. Australia’s quarterly Monetary Policy Statement and minutes from the Bank of Japan Board meeting to be published. Barkin of the Fed speaks publicly, as will Reserve Bank of Australia Governor Lowe. Holidays: August Civic holiday in […] More