Bernanke's Opponents
August 13, 2009
There’s yet another critical editorial about Fed Chairman Bernanke in today’s Wall Street Journal, entitled “No Exit” — as in no exit strategy. Using a driving metaphor, the Chairman is faulted for not slowing the “money accelerator” to 160 miles per hour from 200 MPH and the paper insinuates that he is motivated by a […] More
Central Bank Watch
South African Reserve Bank Delivers a Surprise 50-Bp Rate Cut
August 13, 2009
South Africa’s monthly rate decision faked out market analysts for the second time in a row, as the Repo Rate was cut to 7.0% from 7.5%. Analysts overwhelmingly expected no change in the benchmark central bank rate, although some doubt emerged recently following two very weak economic reports. Industrial production fell 17.1% in the year […] More
Central Bank Watch
Hong Kong Base Rate Left At 0.5%
August 13, 2009
The Hong Kong Monetary Authority left monetary policy unchanged as expected. Since October 1983, domestic monetary policy has been subordinated to an exchange rate policy that links the Hong Kong dollar to the U.S. dollar at a parity of 7.8. That effectively ties changes in Hong Kong rates to changes in Fed policy. No change […] More
New Overnight Developments Abroad - Daily Update
New Overnight Developments Abroad: 2Q GDP Rose in Germany and France
August 13, 2009
Investor appetite for risk is higher after FOMC statement and European GDP data releases. Dollar, yen, and sovereign yields are lower. Stocks and commodities are higher. Lots of U.S. data due later today. The dollar edged 0.2% higher against the yen but slows losses of 1.1% against the Australian dollar. 0.8% against the kiwi, 0.7% […] More
