ECB Signals Steady Interest Rates as Fed Risks Loom Over Outlook 
China Holds Loan Prime Rates Steady in January as Market Expectations Align 
MAS Holds Monetary Policy Steady as Strong Growth Raises Inflation Risks 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Bank of Japan Signals Cautious Path Toward Further Rate Hikes Amid Yen Weakness 
Fed Confirms Rate Meeting Schedule Despite Severe Winter Storm in Washington D.C. 
Bank of Korea Expected to Hold Interest Rates as Weak Won Limits Policy Easing 
Data released earlier today showed that German GDP in Q4 expanded by 0.3% q/q as expected (consensus : 0.3%). Details showed that strong government and private consumption was obviously neutralised by declining external demand and the trend is expected to continue in the coming quarters.
Most economists forecast a high growth rate of 1.8% for 2016 as a whole. But this can only be realised if growth accelerates in Q1 and Q2. Despite booming domestic demand, the decline in leading indicators and the recent market turmoil argue against economic growth increasing in the coming quarters as most economists hope.
"We feel comfortable with our 2016 growth forecast of 1.3%, which is well below the consensus. The ECB will probably ease monetary policy further in March and in case of doubt do more than we had previously expected." said Commerzbank in a report.
