Foreign Exchange Insights and Next Week
The Euro Has Baggage, but the Dollar’s Hardly Perfect
June 14, 2012
From it’s conception, the common European currency was a flawed economic experiment, but it’s raison d’etre lay in politics. Time has increasingly exposed the economic misguidance of EMU. Ironically, this unraveling reinforces the political calling of a single currency, stiffening the desire to hold things together. The single currency almost didn’t happen. A French referendum […] More
Central Bank Watch
Swiss National Bank
June 14, 2012
The Swiss National Bank (SNB) will maintain the minimum exchange rate of CHF 1.20 per euro and will enforce it with the utmost determination. It remains prepared to buy foreign currency in unlimited quantities for this purpose. Even at the current rate, the Swiss franc is still high. Another appreciation would have a serious impact […] More
Central Bank Watch
Filipino Monetary Policy Settings Kept Steady
June 14, 2012
The Monetary Board of Bangko Sentral ng Pilipinas agreed to retain a 4.0% overnight borrowing rate and a 6.0% overnight lending rate. These were reduced earlier this year in January by 25 basis points and again by the same amount in March but left unchanged at the April meeting. Officials “believe that the benign inflation […] More
New Overnight Developments Abroad - Daily Update
Spain Gets More Bad News
June 14, 2012
The dollar has declined 0.8% against the kiwi, 0.5% versus the loonie, 0.4% relative to the Australian dollar, and 0.2% relative to the euro, Swissie, and sterling. The yuan is steady. Share prices dropped 1.2% in Hong Kong and India, 1.8% in Indonesia, 1.7% in the Philippines, 0.8% in China, 0.5% in Australia and Singapore, […] More
