Archive for July 28th, 2014

Deeper Analysis

A Quarter Century Old Disinflation

July 28, 2014

The fear of too much inflation still strikes a more sensitive nerve than the fear of too little inflation.  The basic complaint against the ultra-accommodative monetary policies around the world is that this is a recipe for high inflation in the future.  The writing on the walls, a climb in expected inflation, is predicted to […] More

Central Bank Watch

Bank of Israel Engineers Unexpected Interest Rate Cut

July 28, 2014

Israel’s key lending interest rate was lowered to 0.5% from 0.75%.  This was the eleventh such cut since September 2011 and the second of 2014, the other being done five months ago in February.  A released statement justifies the action by citing continuing sub-target CPI inflation, a 0.8% trade-weighted rise of the shekel since the […] More

New Overnight Developments Abroad - Daily Update

Currencies Again Unaffected by Festering Geopolitical Tensions

July 28, 2014

A fleeting cease fire in Gaza has been broken. The U.S. State Department claims to have images of artillery fire from Russian soil against Ukrainian forces. Spokesmen for Japanese Prime Minister Abe deny rumors of cabinet changes. The dollar is unchanged against the yen, loonie, Australian dollar and sterling.  The greenback has edged 0.1% higher […] More