New Overnight Developments Abroad - Daily Update
Share Prices Up and Dollar Down on Favorable Covid Vaccine News
November 23, 2020
A third Covid-19 vaccine has been found to be quite effective in trials, and Regeneron’s antibody therapeutic treatment has received authorization for emergency use against the disease. Global cases are fast approaching the six million mark, 21% of which in the United States. After spiking to nearly 200k last Friday, new U.S. cases fell Saturday […] More
Foreign Exchange Insights and Next Week
Next Week’s Menu: November 21 – 27, 2020
November 20, 2020
Central Banks: Monetary policy meetings are scheduled in Sweden, South Korea, Colombia, and Sri Lanka. Minutes from the last policy reviews by the FOMC and the European Central Bank Governing Council get released. Bank of Japan Governor Kuroda, Deputy Governor Debelle of the Reserve Bank of Australia, and Bank of England Monetary Policy Committee members […] More
New Overnight Developments Abroad - Daily Update
Trump Fans Political Chaos but Dollar Slippage Stays Orderly
November 20, 2020
The Trump campaign is continuing to try to discredit election results in several states. If it can persuade some key states not to certify Biden’s win, the President-Elect could fall short of the needed 270 electoral votes, throwing the election decision back to state legislatures, the House of Representatives, and perhaps the Supreme Court. The […] More
Central Bank Watch
South African Reserve Bank
November 19, 2020
Although the South African Reserve Bank’s repo rate was left unchanged at 3.5%, the vote not to ease of 3-2 was razor-thin. Each dissenter preferred a 25-basis point cut to add to earlier easing moves this year of 25 basis points in January, 100 bps each in March and April, 50 bps in May and […] More
Central Bank Watch
Rate Cut at Bangko Sentral ng Pilipinas
November 19, 2020
The Filipino policy interest rate was reduced by 25 basis points to a record low of 2.0%. This was the fifth cut of 2020, followings ones of 25 bps in February and a trio of 50-bp moves in March, April and June. The Philippines has been slammed not only by the pandemic but also a […] More
Central Bank Watch
Bank Indonesia Cuts Interest Rate
November 19, 2020
A 25-basis point cut in Bank Indonesia’s seven-day reverse repo rate to 3.75% had not been anticipated today. The move follows four earlier 25-basis point reductions this year between February and July. According to an accompanying statement, the latest easing is meant to maintain liquid money markets and promote economic recovery in the face of […] More
Central Bank Watch
Central Bank of Turkey Tightens Sharply
November 19, 2020
The Central Bank of Turkey raised the one-week repo rate by 475 basis points to 15.0% in an action to counter inflation caused by the depreciation of the lira. Among emerging market economies, Turkey’s currency this year has been the weakest. Turkish monetary officials, like their counterparts around the world, had lowered their interest rate progressively […] More
New Overnight Developments Abroad - Daily Update
Correlation Between Covid Cases and the Dollar
November 19, 2020
The dollar has frequently benefited from intensifying Covid infections and the rise in general uncertainty that accompanies such. Today has been one of those days. New coronavirus cases in the United States topped 170k yesterday, but the increase over the last 24 hours as of this writing is in fact just shy of 180,000. And […] More
Central Bank Watch
Central Bank of Iceland
November 18, 2020
Monetary officials in Iceland cut their seven-day term deposit rate by 25 basis points to 0.75%, bringing the cumulative rate reduction since February to 225 basis points. Today’s was the first cut since a 75-basis point reduction in May. A released statement from the Monetary Policy Committee also announced that Icelandic GDP is likely to […] More
New Overnight Developments Abroad - Daily Update
Covid News Proceeding on Two Tracks, While Dollar Slipping but Slows
November 18, 2020
There’s been more good news regarding Covid vaccine developments as Pfizer’s product, like Moderna’s, has been shown to be 95% effective. Before vaccines can be distributed widely, however, current spikes in cases and deaths point to a very difficult winter ahead for public health and economic activity. New U.S. cases and deaths yesterday approached 160,000 […] More
