Archive for April 27th, 2009

Currency Markets in the News

A Widely Shared World Recession

April 27, 2009

Newly revised IMF forecasts project a 1.3% contraction of world GDP in 2009 followed by a 1.9% recovery in 2010.  Growth over the four years to 2010 amounts to just 2.2% per annum in spite of a 5.2% rise of GDP in the first year of that period.  All of the net growth in between […] More

Central Bank Watch

Bank of Israel Policy Rate Left at 0.5%

April 27, 2009

After reducing its key rate from 4.25% to 0.50% in eight steps from October to March, Israeli monetary policy is anchored around the purchase of government bonds, and the key short-term rate appears to have hit its effective low.  The Bank of Israel, as expected, did not cut such further today. A statement from the […] More

Larry's Blog

Flu Scare Poses Fresh Economic and Market Concern

April 27, 2009

The Spanish flu epidemic of 1918-19 killed about 20 million people worldwide, including half a million Americans.  More than 9% of reported cases of SARS (severe acute respiratory syndrome) from November 2002 to July 2003 resulted in death, sixteen times greater than typically accompanies ordinary flu.  A mere two cases of swine flu at Fort […] More

New Overnight Developments Abroad - Daily Update

New Overnight Developments Abroad: Fresh Surge in Risk Aversion on Fear of Pandemic Flu

April 27, 2009

All markets reflect higher risk aversion: bonds up, stocks down, yen and dollar up, commodities down. Swine flu has spread to Asia and North America.  Investors disregarding signs of lessening economic decline and now worried about how a pandemic might aggravate world recession. The dollar is off 0.6% against the yen but has risen 1.8% […] More