Central Bank Watch
New Zealand’s Central Bank Leaves Cash Rate at 2.5% and Delivers Dovish Statement
January 27, 2016
The statement from the Reserve Bank of New Zealand arrived an hour after the FOMC statement and reveals more about the market’s angst over Fed tightening than about New Zealand. Both central banks left key interest rates unchanged in January, which wasn’t a great surprise since each had changed rate levels at the previous policy […] More
Central Bank Watch
A More Hawkish FOMC Statement than Some Were Expecting
January 27, 2016
The January FOMC statement is neither all hawkish nor noticeably more dovish than the one released six weeks ago when the first federal funds rate hike since June 2006 was made. Considering the disappointing economic data and wildly tumultuous financial and commodity market movement during the interim, the surprise is that the statement still implies […] More
Central Bank Watch
FOMC Preview
January 27, 2016
Since the last FOMC policy announcement on December 16, the dollar has depreciated 2.7% against the yen while rising just 0.8% versus the euro. The 10-year Treasury yield is 27 basis points lower now than then. As part of a global-wide liquidation of equity-held wealth, the Dow Jones has dropped 9%, and the price of […] More
New Overnight Developments Abroad - Daily Update
Continuing Financial Market Volatility on this FOMC Decision Day
January 27, 2016
The FOMC will release a U.S. monetary policy statement at 19:00 GMT (14:00 EST). The statement this time will not be accompanied by new forecasts or a subsequent press conference. The federal funds rate was hiked at the prior meeting in mid-December, so a further increase at this one never appeared likely. The current interest […] More
