A Fourth Discount Rate in Taiwan as Normalization Continues

March 31, 2011

Taiwan’s central bank Policy Board has raised key interest rates by 12.5 basis points just as it did at the end of third and fourth quarters of 2010.  An initial increase was undertaken in early June of last year.  Today’s action leaves the discount rate at 1.75% versus a low of 1.25% before this normalization […] More

Taiwan’s Monetary Policy Tightened Further

December 30, 2010

The Central Bank of the Republic of China implemented a third set of interest rate increases, each amounting to 12.5 basis points.  The prior two increases were announced June 8 and September 30th.  The new discount rate is 1.625% versus a cyclical low of 1.25% prior to June.  The collateralized lending rate is now 2.0%, […] More

Swissy Ending a Strong Year on a Strong Note

December 30, 2010

Most markets will be shut tomorrow in observance of the new year. The dollar lost another 0.7% against the Swiss franc and set a new record high of CHF 0.9372.  The franc is 19.1% stronger than its end-2009 level against the euro. The Chinese yuan advanced 0.3% against the dollar, bringing its cumulative appreciation in […] More

Taiwan Gets a Second Rate Hike

September 30, 2010

The Taiwanese central bank benchmark rate was lifted by 12.5 basis points to 1.5%.  This as-expected move follows one of similar size undertaken on June 24.  The rate had been at a 55-year low of 1.25% following seven reductions totaling 362.5 basis points administered from June 2008 through February 2009.  Taiwan has no consumer price […] More

Taiwan’s Rate Hike

June 24, 2010

Taiwan became Asia’s sixth country to endure a rate increase.  The 12.5 basis point increase in the discount rate to 1.375% reverses the final of seven reductions engineered between September 26, 2008 to February 18, 2009.  Those easings had totaled 237.5 basis points and left the discount rate at a 55-year low.  Quantitative easing had […] More

Taiwan Central Bank Leaves 1.25% Rediscount Rate But Will Reabsorb Excess Liquidity

March 25, 2010

The Central Bank of the Republic of China (Taiwan) kept its 56-year low 1.25% rediscount rate steady and did not raise reserve requirements, either.  However, officials announced that the reabsorption of excess funds in Taiwan’s financial system will pick up pace in the period ahead and that limits will be placed on property loans.  Taiwanese […] More