Central Bank Watch
Norges Bank Doesn’t Loosen Norwegian Monetary Policy Any Further
May 10, 2012
Norway’s overnight deposit rate had been cut by 50 basis points last December and 25 basis points in March of this year, reversing three of the four 25-bp hikes implemented between October 2009 and May 2011. At 1.5% the key rate is historically low but not as much so as key interest rate levels in […] More
Central Bank Watch
Bank of Russia: Monetary Policy Settings Stay on Hold
May 10, 2012
Bank Rossii implemented three changes of its refinancing rate last year, hikes of 25 basis points each in February and April and a cut of 25 bps on December 23rd. After this month’s meeting, the Board of Directors left the key rate at 8.0%, its level since the cut in December. Officials are balancing President […] More
Central Bank Watch
Bank Indonesia
May 10, 2012
The Indonesian reference interest rate was left at 5.75% again, but a statement released by officials indicated, as did the previous April statement, a readiness to tighten in time: “Bank Indonesia is going to raise interest rate of monetary operation instrument and continue to absorb rupiah excess liquidity to contain short term inflationary pressure and […] More
Central Bank Watch
No Change in South Korean Monetary Policy
May 10, 2012
The Bank of Korea once again retained a 3.25% Base Rate level. From a Great Recession low of 2.0% maintained from February 2009 until July 2010, five increases of 25 basis points each were enacted but none since June of 2011. Both core and headline inflation eased in April to 1.6% and 2.5%, respectively. The […] More
Central Bank Watch
Bank of England Leaves Policy Settings Unchanged
May 10, 2012
The Bank of England retained a 0.5% Bank Rate and did not increase the GBP 325 billion Asset Purchase Plan further. This was the expected result, although some analysts that more quantitative easing might be forthcoming. In a typical boilerplate statement for occasions when no changes are made, officials simply indicated the size and timing […] More
New Overnight Developments Abroad - Daily Update
Dollar Steady Despite Lots of New Information
May 10, 2012
The dollar shows no overnight change against the yen, euro, and Swiss franc. The greenback lost 0.5% against the Aussie dollar, 0.3% relative to the kiwi, and 0.1% versus the loonie and sterling. The Chinese yuan dipped 0.1% following a weak export and import data. Share prices in Europe are down 0.7% in Paris and […] More
