Foreign Exchange Insights and Next Week
Musings on Midyear and the Greek Crisis
July 1, 2015
What is it about the cusp that separates the first and second half of the calendar year? The Greek government’s failure to meet its debt payment to the IMF on June 30th brings to mind the devaluation of the Thai bhat on July 1, 1997 that lit the match and ignited a devastating Asian debt […] More
Deeper Analysis
U.S.-Minus-Eurozone Factory PMI Remained Small in June
July 1, 2015
Strengthening growth in jobs powered a 0.7-point rise of the U.S. purchasing managers index to 53.5 in June, whereas Euroland’s PMI went up just 0.3 points to 52.5. The PMI differential between those two economies was at a four-month high but only 1.0 point in width. The U.S. jobs index leaped 3.8 points to 55.5. […] More
Central Bank Watch
National Bank of Romania
July 1, 2015
Romania’s policy interest rate, which had been cut four times in the first half of 2015 by 25 basis points each to a record low now of 1.75%, was not changed after the latest Board meeting. While a released statement said officials expect inflation to run below the 1.5-3.5% target, other considerations argued for caution: […] More
Foreign Exchange Insights and Next Week
Tankan Survey, PMIs, Greece, and an Approaching U.S. Holiday
July 1, 2015
The dollar began the second half of 2015 on its front foot, firming 0.7% against the Swiss franc, 0.4% versus the yen, 0.3% relative to sterling, 0.2% vis-a-vis the loonie and euro and 0.1% against the Australian dollar. The yuan is unchanged, and the New Zealand dollar edged 0.1% higher against its U.S. counterpart. In […] More
