Currency Markets in the News
Fourth-Quarter Growth in the G-3
April 7, 2009
The final 4Q08 revised Euroland GDP data were released today. Comparable U.S. and Japanese numbers already had been published. The United States and Euroland had identical contractions of 6.3% at a seasonally adjusted annual rate, while Japanese GDP plunged by a much sharper 12.1% saar. Net exports and business investment each accounted for 56% of […] More
Central Bank Watch
Reserve Bank of Australia Reduces Cash Rate 25 Basis Points
April 7, 2009
After a one-month pause in March, Australia’s central bank implemented the sixth rate cut since September but opted for a reduction of only 25 basis points to 3.0%. The four prior cuts had been moves of 100 basis points in February, December and October and of 75 basis points in November. The initial easing on […] More
Central Bank Watch
Bank of Japan Tinkers With Policy Only Cosmetically
April 7, 2009
After a five hour, 48 minute meeting over two days, the 8-person Policy Board voted unanimously to undertake just some small collateral-expanding changes such as the acceptance of loans on deeds to municipal governments. The uncollateralized overnight call rate target remains at around 0.1%, where such has been since December and just 40 basis points […] More
New Overnight Developments Abroad - Daily Update
New Overnight Developments Abroad: BOJ and RBA Implement Only Small Policy Changes
April 7, 2009
Currency movements overnight reflect stronger risk aversion. The dollar is 0.9% weaker against the yen but has advanced 2.2% against the kiwi, 1.1% against the euro, 0.9% relative to sterling, 0.8% against the Swiss franc, 0.7% against the Australian dollar and 0.6% against the Canadian dollar. Stock markets are lower in France (1.1%), Britain (also […] More
