April 21, 2021
A cabinet reshuffle in Turkey has depressed the lira 0.5% against the dollar to a 10-day low. Overall, the U.S. currency shows limited and mixed overnight movement with upticks of 0.3% versus the Swiss franc, 0.2% relative to the euro and 0.1% vis-a-vis sterling, no net change against the Japanese yen or Chinese yuan, but […] Read Article
April 16, 2021
Central Banks: Monetary policy reviews are scheduled at the European Central Bank and in Canada, Indonesia, Russia, and Israel. The People’s Bank of China sets its loan prime rates for the coming month, and the Reserve Bank of Australia publishes minutes of its last policy meeting. ECB President Lagarde and Govenors Macklem of the Bank […] Read Article
April 21, 2021
As expected, Canada’s overnight interest rate target, which has been 0.25% since a trio of half-percentage point cuts in March 2020, was left unchanged. However, the targeted weekly amount of quantitative stimulus was lowered from “at least 4 billion” to $3 billion, according to a released statement. Governing Council members assert a continuing need for […] Read Article
April 1, 2021
None of central banks below changed policy interest rates during the first quarter, but 10-year sovereign debt yield recorded sharp advances. Favorable U.S. long-term interest rate differentials became even more so during March. In spite of rising long-term bond yields, equities experienced gain last quarter including in March. The U.S. and Canadian dollars strengthened last […] Read Article
April 20, 2021
Monday’s drop in share prices has been extended amid concerns about the pandemic and higher inflation. Stocks closed down 2.0% in Japan, 0.7% in Australia and New Zealand, 0.6% in Singapore and 0.1% in China. Losses so far in Europe range between 0.8% and 2.0% in Switzerland, Germany, the U.K., France, Italy and Spain, and […] More
April 19, 2021
The dollar kicked off this third week of April with a 0.5% decline on a weighted basis overnight. The U.S. currency lost 0.7% against the Swiss franc, 0.6% versus the yen, Australian and New Zealand dollars, 0.5% relative to sterling, and 0.4% against the euro and Mexican peso. To some extent, the dollar’s slippage may […] More
April 16, 2021
Friday finds the dollar a touch softer, with overnight dips of 0.3% against the Swiss franc and kiwi, 0.15% relative to the U.S. currency’s weighted index, and 0.1% vis-a-vis the euro. The dollar also has firmed 0.6% against the Turkish lira, 0.2% versus the loonie and 0.1% against the yen and Australian dollar. The 10-year […] More
April 15, 2021
The uncertain delayed roll-out of the J&J one-shot Covid vaccine is creating consternation, especially in light of high rates of new cases in many places. The National Bank of Ukraine’s policy interest rate was raised a full percentage point to 7.5%. This was the second straight tightening and twice the size of the initial 50-basis […] More
April 14, 2021
Accelerating inflation was uppermost on the minds of policymakers at the National Bank of Belarus, who today announced a 75-basis point hike in their refinancing rate to 8.5%. During the first half of 2020, the rate had been cut 25 basis points in Jranuary, 75 bps in May and 25 bps in June to a […] More
April 14, 2021
The dollar fell 0.7% overnight against the New Zealand dollar and 0.5% relative to the Turkish lira and Australian dollar. But more senior dollar relationships such as the euro, yen, Swiss franc, sterling, and yuan, the dollar is barely changed and down just 0.1% in weighted terms. For the first time in years, markets have […] More
April 13, 2021
U.S. consumer prices rose 0.6% last month, which was marginally more than forecast and the largest month-on-month increase in 103 months. The 2.6% 12-month increase in the CPI was 0.9 percentage points more than in February and constitutes a 31-month high. The energy component advanced 5.0% on month and 13.2% on year, but non-energy service […] More
April 12, 2021
On a Monday with few data releases, the dollar has slipped 0.3% against the yen and sterling, 0.2% relative to the Mexican peso, and 0.1% versus the euro, Swiss franc, Australian dollar, Chinese yuan and against its weighted DXY index. Fed Chairman Powell gave an upbeat interview aired Sunday night on 60 minutes in which […] More
April 9, 2021
Central Banks: Monetary policies will be reviewed in New Zealand, Serbia, South Korea, Turkey and Ukraine. The Fed Beige Book of regional U.S. economic conditions will be published, and Fed District Presidents Williams and Rosengren will be speaking publicly. Events: The World Bank/IMF meetings wrap up this weekend. EU finance ministers meet April 16th. Scheduled […] More
April 9, 2021
The dollar rebounded 0.2% against its weighted index overnight from a 2-week low. One boost came from a five-basis point rise of the ten-year U.S. Treasury yield, even though other comparable sovereign debt yields also advances strongly. The dollar rose 0.4% against the yen, 0.3% versus the Mexican peso, 0.2% vis-a-vis the Swiss franc and […] More
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