Larry's Blog
How Contagious Ought Japan’s Crisis Be?
March 17, 2011
One would think from watching global stock exchanges over the past week that everyone’s fate hinges on Japan’s. After all, Japan is the third largest nation-state economy in the world, having only recently been displaced from the second slot by China. For the past two decades, however, Japan has lacked the dynamism that built it […] More
Central Bank Watch
Swiss National Bank Keeps Monetary Policy Unchanged After Quarterly Review
March 17, 2011
SNB policymakers decided to retain a target range of zero to 0.75% on three-month LIBOR and a point target within that band of 0.25%. Those parameters have defined Swiss monetary policy for the past two years since a cut in March 2009 of 25 basis points in the point objective culminated 250 basis points of […] More
Central Bank Watch
Reserve Bank of India Implements its Eighth Rate Increase Since March 2010
March 17, 2011
In order to counter demand-side inflationary pressure and inflation expectations, monetary officials in India raised their key repo lending rate and reverse repo borrowing rate by 25 basis points each to 6.75% and 5.75%, respectively. This follows a similar move on January 25th and six tightenings last year made in March, April, July (twice), September […] More
New Overnight Developments Abroad - Daily Update
All-Time Record Low in Dollar/Yen
March 17, 2011
The yen strengthened to a new historic high of 76.25 per dollar before the Asian open, breaking the old peak of 79.85 reached April 19, 1995. At 78.35/USD, Japan’s currency still shows a net overnight advance of some 2%. An unnamed source claims that G7 finance ministers and central bankers plan a conference call at […] More
