New Overnight Developments Abroad - Daily Update
Japanese Yen Weakens Broadly and Crosses 150 per Dollar Threshold
July 31, 2025
The Japanese yen fell 0.7% overnight into this morning against the dollar, which otherwise declined by 0.3% against the euro and Swiss franc, 0.2% relative to sterling and 0.1% versus the Australian and New Zealand currencies. The yen got as low as 150.63 per dollar, not far from the 152 per dollar quote when Japanese […] More
Central Bank Watch
Federal Open Market Committee Left Interest Rate Target Unchanged after 9-2 Vote
July 30, 2025
This week’s FOMC meeting revised the characterization of recent economic activity from “a solid pace” to having “moderated during the first half of the year.” Characterizations of the labor market (a low jobless rate and solid conditions otherwise) and of inflation (somewhat elevate) were not changed. The decision to maintain the interest rate target of […] More
New Overnight Developments Abroad - Daily Update
GDP Reports and Interest Rate Decisions
July 30, 2025
The dollar strengthened from Tuesday closing levels ahead of the Federal Reserve’s interest rate announcement due within the hour and amid preliminary second-quarter GDP releases that showed faster growth in the United States but slower expansion in Europe. Dollar gains have amounted so far to 0.8% against the Australian dollar and South Korean won, 0.7% […] More
New Overnight Developments Abroad - Daily Update
Second Quarter GDP Data Starts to Trickle In
July 29, 2025
The Federal Open Market Committee begins a 2-day interest rate policy review today that is widely expected to leave the 4.25-4.5% federal funds target range unchanged in spite of relentless calls by President Trump for substantial rate reduction. Of particular interest will be whether Governors Waller and Bowman, who have verbally expressed support for lowering […] More
New Overnight Developments Abroad - Daily Update
Dollar Opens an Important Week on a Rising Note
July 28, 2025
(181) The dollar strengthened overnight by 0.6% on a weighted basis and against the Mexican peso and Australian currency, as well as 0.8% relative to the euro and Swiss franc, 0.5% versus the Japanese yen, 0.7% vis-a-vis the New Zealand dollar, and 0.2% against the Canadian dollar and sterling. The dollar benefited from news that […] More
Uncategorized
Next Week’s Menu: July 26-August 1, 2025
July 25, 2025
Central Banks: Monetary policy reviews are scheduled at the Federal Reserve and in Japan, Great Britain, Brazil, Kyrgyzstan and Georgia. Fed Chairman Powell, Bank of England Governor Bailey, and BOJ Governor Ueda hold press conferences. The Bank of England’s quarterly Monetary Policy Report gets published. Federal Reserve forecasts don not get revised this time. Tariff […] More
Central Bank Watch
A Second Russian Central Bank Rate Cut
July 25, 2025
Whereas Ukraine’s central bank rate was left unchanged yesterday at 15.5%, the Central Bank of Russia today cut its key rate by 200 basis points to 18.0% as had been expected. Monetary officials there explained, “current inflationary pressures, including underlying ones, are declining faster than previously forecast. Domestic demand growth is slowing. The economy continues […] More
New Overnight Developments Abroad - Daily Update
Dollar and 10-Year Sovereign Debt Yields a Bit Higher, But Bitcoin and Gold Prices Slip
July 25, 2025
The weighted DXY dollar index climbed 0.4% overnight, lifted by a 0.5% advance against the yen and sterling but a smaller dollar gain of 0.2% relative to the euro and Swiss franc. The dollar rose 0.4% against the Australian dollar, 0.3% versus the Canadian and New Zealand dollars, and 0.2% against Mexico’s peso. Ten year […] More
Central Bank Watch
Big Rate Cut at the Central Bank of Turkey
July 24, 2025
Today’s three percentage point cut in the Central Bank of Turkey‘s interest rate to 43.0% exceeded analyst expectations somewhat and almost reversed the entire 350-basis point hike done in April. Turkish CPI inflation of 35% last month was at a 43-month low and eight percentage points below the new central bank rate level. Officials felt […] More
New Overnight Developments Abroad - Daily Update
Central Banks and Preliminary July Purchasing Manager Surveys Share the Spotlight Today
July 24, 2025
U.S. President Trump and his entourage will tour the controversial Federal Reserve Board renovation site in Washington today in a confrontation sure to deliver a further blow to America’s claim to keeping monetary policy free from political interference. Announced central bank decisions by the European Central Bank, Central Bank of Ukraine and Central bank of […] More
