Central Bank Watch
Mexican Monetary Policy On Hold Since July 2009
April 16, 2010
Bank of Mexico officials, who previously cut their benchmark interest rate in seven consecutive steps from 8.25% at end-2008 to 4.5% after last July’s meeting, left their accommodative policy on hold at that level as analysts had expected. A released statement, whose English translation can be read by clicking here, observed that CPI inflation averaged […] More
Foreign Exchange Insights and Next Week
Next Week
April 16, 2010
Next week starts with a meeting Monday in Athens of Greek government representatives with officials of the EU, IMF, and ECB in order to expedite completion and quick approval of a EUR 45 billion aid package. Central bank meetings are scheduled in Sweden, Canada, the Philippines, Thailand, and India, with the latter two expected to […] More
Foreign Exchange Insights and Next Week
No Ideal Solutions for the Euro
April 16, 2010
Greece is in perpetual check and facing checkmate unless officials get very creative. Let me explain. In return for the imposition of substantial fiscal cutbacks, an aid package will hopefully cut Greece’s long-term rates but not soon enough or deeply enough to forestall a severe recession. Greek authorities have no way to rotate growth toward […] More
New Overnight Developments Abroad - Daily Update
Twin Focus Persists on Greece and China
April 16, 2010
EU finance ministers, a.k.a. Ecofin, are meeting today in Spain over the Greek debt problems. Greek long-term interest rates remain too high, and the government in Athens is attempting to secure a quick activation of the EUR 45 billion aid package, which remains very unpopular with German voters. A subsequent meeting on April 19 in […] More
