Central Reserve Bank of Peru
Post-CPI Equity Rally Gets Fresh Thrust from Chinese Covid Changes; DXY Has Dropped 5.4% Since Nov 3rd
November 11, 2022
On this Veteran’s Day holiday, U.S. banks will be closed, but the stock market is trading. U.S. equities had their biggest daily advance in over two years after Thursday’s CPI report, and stock futures this morning show a further 0.5% advance. Chinese officials, after initially denying rumors that a relaxation of the Zero Covid policy […] More
Another Rate Hike in Peru
September 9, 2022
The Central Reserve Bank of Peru’s policy rate had been raised for the 14th time since August 2021, but the incremental rise after this month’s policy review unexpectedly reverted back to the 25 basis points done initially. all the other increases had been by 50 basis points, and the rate in total has gone from […] More
Weeks’ End Finds Investors Willing to Take Some Risk
September 9, 2022
Early in the U.S. trading day, the rises in key U.S. stock market indices range from 0.5% in the DOW to 1.2% in the Nasdaq. Share prices in the Pacific Rim had closed up 2.7% in Hong Kong, 1.2% in Taiwan, 0.9% in Singapore, 0.8% in China, 0.7% in Australia and 0.5% in Japan, and […] More
Peruvian Central Bank Rate Hike
August 12, 2022
The Central Reserve Bank of Peru‘s policy interest rate was raised by another 50 basis points, bringing such to 6.5%. It has been increased by a half percentage point in each of the first eight months of 2022 as well as in each of the last four months of 2021. There was an initial 25-basis […] More
Dollar Closing August’s Second Week on an Up Note
August 12, 2022
Prior to the release of U.S. import price data, the dollar was showing overnight gains of 0.6% against the yen and sterling, 0.5% versus the DXY weighted index, 0.4% relative to the euro and 0.3% vis-a-vis the Aussie dollar. A number of factors are supporting the dollar: lessened inflation concerns after reports of lower-than-forecast CPI […] More
Central Reserve Bank of Peru
June 10, 2022
The Central Reserve Bank of Peru also raised its policy interest rate yesterday. The size of the hike, like ones each month since September 2021, was by 50 basis points, and the new rate level of 5.5% compares to 0.25% a year ago. Peruvian CPI inflation last month rose to 8.1%, most since 1998, but […] More
Inflation Rising, Central Bankers Reacting, Dollar Firmer, and Equities Troubled
June 10, 2022
The dollar rose overnight by 0.4% against sterling and 0.2% relative to the euro, Swiss franc, and in weighted terms. The dollar alternatively dropped against the ruble, Australian and New Zealand dollars and Japanese yen. Following yesterday’s sharp drop in U.S. share prices, equities fell 1.5% in Japan, 1.3% in Indonesia and Australia, 1.6% in […] More
Investor Bottom-Fishing
May 13, 2022
Within bear markets, brief interruptions happen typically as investors pause to take in the carnage and test markets to see if perhaps enough has been lost to secure a trend reversal. Today’s been one such instance. Share prices rose in Pacific Basin markets by 2.7% in Hong Kong, 2.6% in Japan, 2.1% in South Korea, […] More
Peruvian Central Bank Rate Hike
May 12, 2022
The Central Reserve Bank of Peru’s policy interest rate had been at 2.25% when the pandemic struck in early 2020. Back-to-back percentage point cuts in March and April pinned the rate at 0.25% where it remained for fifteen months. Peruvian CPI inflation of 1.6% in June 2020 had constituted an 18-month low and in the […] More
Another Peruvian Interest Rate Hike
April 8, 2022
At this month’s scheduled monetary review, the Central Reserve Bank of Peru lifted its policy interest rate by 50 basis points to 4.5%, its highest level since 2009. While the Fed only within the past month entertained the thought of raising interest rates by increments greater than 25 basis point (something not done in decades), […] More
