Deeper Analysis
Currency Determination at the Intersection of Economics and Politics
July 14, 2016
Contrary to popular opinion, politics and economics do not operate in separate universes. Politics is the business governing who gets to make the rules for all other business activity and how the laws will be enforced and interpreted. Politics determines policy, and abrupt changes in policy and policy communication influence economic performance profoundly. That’s why […] More
Central Bank Watch
Bank of England Defers Policy Easing to August
July 14, 2016
The dominant market expectations earlier this week had been that the Bank of England’s Bank Rate, which has been at 0.50% since March 2009, would be cut at today’s meeting. An expansion of quantitative easing was also thought likely. The GBP 375 billion ceiling on the asset purchase program was reached in late 2012. These […] More
Central Bank Watch
Bank of Korean Base Rate Kept at 1.25%
July 14, 2016
A fifth 25-basis point interest rate cut since August 2014 had been implemented at the June monthly policy review, so it’s not surprising that Bank of Korea officials chose to leave the Base Rate steady this time at 1.25%. In a released statement, Board members predicted modest domestic demand-led growth with considerable uncertainty surrounding that […] More
New Overnight Developments Abroad - Daily Update
Surprise, Surprise, Surprise!
July 14, 2016
Surprise #1: Latest U.S. presidential opinion polls show the race between Trump and Clinton too close to call in key swing states, despite much greater political ad spending by the Democrats. Trump said he will unveil his VP choice Friday at 11:00 am EDT. Surprise #2: Rising from the ashes, Boris Johnson was named British […] More
