Foreign Exchange Insights and Next Week
Circumstantial Evidence Suggests Trump Wants Dollar to Weaken
March 14, 2018
As private citizen, presidential candidate, and president of the United States, Donald Trump has embraced the usefulness of commercial protectionism, that is the imposition of tariffs and other barriers to benefit strategic industries deemed at risk because of unfair foreign competition. He’s unafraid of trade wars and believes that America would win such disputes. Victory […] More
Central Bank Watch
Central Bank of Iceland
March 14, 2018
Sedlabanki’s Monetary Policy Committee, meeting just five weeks after the last policy review, decided to leave Iceland’s seven-day time deposit rate at 4.25%, the level since a 50-basis point reduction in August 2016. While observing that their outlook for inflation is broadly unchanged, but the committee’s post-meeting statement concedes that a marginal uptick in expected […] More
Central Bank Watch
National Bank of Serbia
March 14, 2018
Serbia’s central bank policy rate was sliced today to 3.25% from 3.50%. The rate previously had been reduced by 275 basis points during the final 8 months of 2013, by 150 bps in 2014, 350 bps in 2015, and 50 bps each in 2016 and 2017 but not since last October. This additional easing after […] More
New Overnight Developments Abroad - Daily Update
More U.S. Dollar Declines
March 14, 2018
The dollar lost some additional ground overnight, dipping 0.7% against the Aussie currency, 0.5% relative to the peso after Trump examined border wall prototypes, 0.3% versus the loonie, and 0.2% vis-a-vis the yen, kiwi, yuan, and sterling. The dollar, however, is unchanged on net against the euro and Swissie. In U.S. news prior to the […] More
