Central Bank Watch
Central Reserve Bank of Peru Tightens Again
July 8, 2010
A statement from monetary officials following today’s third straight monthly increase of 25 basis points in the reference lending rate deleted the prediction contained in the May and June rate hike explanations that this move needn’t foreshadow a sequence of moves, but officials did warn that the uncertain impact of global financial market turmoil could […] More
Central Bank Watch
Trichet Spouts Same Old Stuff
July 8, 2010
European monthly statements evolve much more slowly and smoothly than market perceptions. Traders don’t like the monotony of these monthly staged events but feel compelled to stay tuned, lest Trichet utter a market-moving surprise. In the first hour following the start of today’s conference, the euro had appreciated fractionally further against the dollar, challenging but […] More
Deeper Analysis
Revised IMF Growth Forecasts
July 8, 2010
Emerging markets will continue to power 4%+ growth in world GDP, according to new forecasts from the IMF. In 2010, China, India and Brazil are projected to expand by over 10%, over 9%, and over 7%, respectively. Forecast for each of those BRIC economies was revised above prior estimates crunched in April. Economic growth among […] More
Central Bank Watch
Malaysia Gets a Third Interest Rate Hike
July 8, 2010
Following up on similar moves announced March 4 and May 13, Bank Negara Malyasia hiked its overnight policy rate by 25 basis points to 2.75%. In doing this, the central bank has now reversed half the easing that was done from November 2008 through February 2009. The latest Malaysian central bank statement is more dovish […] More
Central Bank Watch
Bank of England Made No Changes
July 8, 2010
A typically terse statement with just the bare facts was posted on the Bank of England website at 11:00 GMT today. The announced news had been expected. Officials decided to maintain its Bank Rate at 0.5% and the size of the asset purchase program at £200 billion. Investors will not learn if other members of […] More
New Overnight Developments Abroad - Daily Update
Mixed U.S. Dollar Ahead of ECB Press Conference
July 8, 2010
Against commodity-sensitive currencies, the dollar has lost 1.0% versus the Aussie dollar, 0.5% against the kiwi, and 0.2% relative to the loonie. The dollar has on the other hand risen 0.5% against the yen, 0.4% against sterling and 0.1% vis-a-vis the Swiss franc. EUR/USD is steady. Stocks in the Pacific Rim advanced by 2.4% in […] More
