Foreign Exchange Insights and Next Week
Next Week (Special Pre-July 4th Edition)
July 3, 2014
U.S. markets are closed tomorrow for Independence Day #238). Elsewhere, here are some data releases of note: German industrial orders, and that economy’s construction PMI. The retail purchasing managers surveys for the euro area, Germany, France and Italy. British car sales and Halifax house price index. Swiss, Hungarian and Swedish industrial production. Filipino consumer prices […] More
Deeper Analysis
Similar U.S. Advantages against Euroland in Manufacturing and Services
July 3, 2014
The United States non-manufacturing purchasing managers index was 3.2 points above its Ezone counterpart in June. That constitutes a 4.2-point favorable swing since February’s disadvantage of 1.0 point. Last month’s 3.2-point advantage was similar to a 3.5-point spread in the manufacturing PMIs. The U.S. advantage in manufacturing also widened during the first half of 2014. […] More
Central Bank Watch
Dovish Draghi
July 3, 2014
In a dovish statement and press conference, ECB President Draghi asserted that the “combination of monetary policy measures decided last month has already led to a further easing of the monetary policy stance. The monetary operations to take place over the coming months will add to this accommodation and will support bank lending. As our […] More
Central Bank Watch
Swedish Riksbank Eases Monetary Policy Stance Significantly
July 3, 2014
inflation is lower than expected and it is now assessed that underlying inflationary pressures are clearly lower than assessed in April. The Executive Board of the Riksbank considered that an even lower repo rate is required for inflation to rise towards the target of 2 per cent. The repo rate is now being cut by […] More
New Overnight Developments Abroad - Daily Update
Lots of New Information to be Absorbed Today
July 3, 2014
The ECB’s refinancing rate, marginal lending rate, and deposit rate were left unchanged at 0.15%, 0.40% and -0.10%. Draghi’s press conference at 12:30 GMT is awaited for clues on forward rate guidance and details on how bank lending might be stimulated. Because of Friday’s Independence Day holiday, the monthly U.S. labor force survey gets released […] More
