Deeper Analysis
Greater Convergence of U.S. and Eurozone Economies
June 3, 2015
1Q15 was one of the rare quarters since the Great Recession when real GDP expanded faster in the eurozone than the United States, and the purchasing manager surveys suggest that wasn’t a one-quarter aberration. A 1.9-point spread between the U.S. non-manufacturing PMI of 55.7 and Eurolands service sector PMI of 53.8 was that differential’s narrowest […] More
Central Bank Watch
Narodowy Bank Polski
June 3, 2015
Poland’s monetary policy council left its key policy rate at 1.5% and kept the 2.5% Lombard rate and 0.5% deposit rate unchanged. In today’s statement, officials defended the preference for keeping this record low interest rate over easing policy further or tightening prematurely. Due to the moderate growth in demand and the continuing negative output […] More
Central Bank Watch
ECB President Draghi’s Press Conference
June 3, 2015
The ECB refinancing rate was left at 0.05%, flanked by a negative 0.2% deposit rate and a 0.3% marginal lending rate. In June and September, key rates were cut by a combined twenty, twenty and forty-five basis points, respective. Quantitative stimulus at an average pace of EUR 60 billion per month to run through September […] More
New Overnight Developments Abroad - Daily Update
More PMI Results, a Draghi Press Conference, Australian GDP, and Fed Beige Book
June 3, 2015
It’s been a busy Wednesday. Overnight many service sector purchasing manager surveys were released, some beating expectations but others falling short. ECB President Draghi is currently doing the Q&A portion of his press conference following an announced decision not to change interest rates and the release of updated macroeconomic forecasts. Juxtaposed with the press conference […] More
