Central Bank Watch
National Bank of Poland Leaves Key Interest Rate at 4.75%
June 6, 2012
Unlike at the prior meeting in May, Polish monetary policymakers did not spring an unexpected reference interest rate hike on the market today. That move had been the first increase in 11 months. There were four increases in all during the first half of 2011, each 25 basis points in magnitude. The reference rate stands […] More
Foreign Exchange Insights and Next Week
A Long View of Sterling
June 6, 2012
Before the dollar assumed the role of international currency hegemon, the British pound commanded that position and was worth around 4.85 U.S. dollars over several decades bridging the 19th and 20th centuries when the major economies of the world operated on the gold standard. Gold standard rigidities were an important contributing factor to the Great […] More
Central Bank Watch
Bank of England Preview
June 6, 2012
There seems to be close to a 50% chance that the asset purchase program, which is currently at its ceiling authorization of GBP 325 billion could be extended. A policy announcement is scheduled for 11:00 GMT Thursday following a two-day meeting of the Monetary Policy Committee (MPC). Although only David Miles on the nine-person committee […] More
Central Bank Watch
A Few but Not Many ECB Policymakers Favored a Rate Cut Today
June 6, 2012
The ECB Governing Council did not reduce the 1.0% refinancing rate or the 0.25% deposit rate and 1.75% marginal lending rate. The interest rate vote, however, was not unanimous, and President Draghi’s introductory statement qualitatively downgraded the characterization of current economic conditions. In May, the statement spoke about “a stabilization in economic activity at a […] More
New Overnight Developments Abroad - Daily Update
Share Prices Rally Despite Lack of Progress Resolving European Debt and Banking Crisis
June 6, 2012
Share prices have risen 2.9% in Spain, 1.8% in France and Japan, 1.5% in Germany, 1.2% in Britain (after Monday-Tuesday closure), 3.3% in Indonesia, 2.7% in India, 1.4% in Hong Kong, 1.3% in New Zealand and Vietnam, 1.1% in South Korea, 0.8% in Taiwan and The Philippines, 0.6% in Malaysia, and 0.3% in Australia. Chinese […] More
