Central Bank Watch
Bank of Mexico
February 4, 2016
Mexico’s overnight interest rate had been raised on December 18 for the first time since before the Great Recession. The hike was 25 basis points in size to 3.25%. At the end of 2008, the key overnight central bank interest rate had been at 8.25%. By July 2009 and seven reductions later, it was at […] More
Central Bank Watch
Czech National Bank
February 4, 2016
Following the central bank Board’s latest meeting, officials released a statement retaining existing policy settings, which was the result that markets anticipated. The two-week repo rate has been at 0.05% since November 2012, and an asymmetric exchange rate policy that uses intervention to prevent the koruna from appreciating beyond 27 per euro was introduced in […] More
Central Bank Watch
Bank of England: No Policy Changes, Downward Revisions to Projected Growth and Inflation, and a Dovish Message Overall
February 4, 2016
The Bank of England’s nine-person Monetary Policy Committee was unanimous for the first time in seven monthly meetings in voting not to raise, or lower, the 0.50% Bank Rate, which has been at that level since March 2009. Ian McCafferty had voted for a 25-basis point hike at the six previous meetings. Policymakers released a […] More
New Overnight Developments Abroad - Daily Update
More Diversified Financial Market Movements
February 4, 2016
At least for today, it’s no longer a matter of risk-on or risk-off for all assets. Some of this differentiation stems from more blatant currency warfare. Yesteday’s revealed sharp decline in the U.S. non-manufacturing purchasing managers index triggered a dollar sell-off. The U.S. currency today has fallen by an additional 0.7% against the euro and […] More
