FxWirePro: Capital flows to intensify Brazilian currency but politics and fiscal deficit still a taboo - USDBRL topside seagull to solve the riddle

Jan 04, 2018 10:10 am UTC| Research & Analysis Insights & Views Central Banks

Even though the high-yielding currencies have become consensus trades for 2018, we maintain a more bullish stance than consensus on BRL short term. The significant improvement in capital flows linked to the growth boost we...

FxWirePro: “Euro strength or perhaps dollar weakness?” Bid EUR/USD and 10y USD ATMS dual digitals as Euro’s next phase of recovery looming

Jan 04, 2018 07:08 am UTC| Research & Analysis Insights & Views Central Banks

Are you puzzled by Euro strength or perhaps dollar weakness instead? Was the latest FX move due to Sterling? The fair elucidation of the exchange rates would always be challenging. Despite robust growth, the ECB would...

ECB likely to change policy tone in spring of 2018, says BoFAML

Jan 04, 2018 05:19 am UTC| Commentary Economy Central Banks

The European Central Bank (ECB) is expected to change its monetary policy tone in the spring of this year. The first step would be to sever the link between inflation dynamics and the continuation of QE as Benoit...

FxWirePro: The Day Ahead- 4th January 2018

Jan 04, 2018 04:51 am UTC| Commentary Central Banks

Lots of economic data and events scheduled for today, but all with low to medium volatility risks associated. Data released so far: Japan: Nikkei manufacturing PMI declines to 54 in December. China: Caixin...

FxWirePro: Banxico and NAFTA keeps Mexican peso stormy - Hedge USD/MXN using digital puts

Jan 03, 2018 14:04 pm UTC| Research & Analysis Central Banks

The peso has eased further against the dollar since the last central bank meeting on 14th December. This is likely to fuel concerns on the part of the Mexican central bank (Banxico) regarding future inflation...

FxWirePro Poll: BoE likely to keep Bank Rate steady at 0.5 pct in Q1 2018

Jan 03, 2018 08:10 am UTC| Commentary Insights & Views Central Banks Economy

The Bank of England (BoE) is seen holding its benchmark interest rate or the Bank Rate steady at 0.5 percent in the first quarter of this year, after having adopted a rate hike at its previous meeting in 2017, an FxWirePro...

FxWirePro: The Day Ahead- 3rd January 2018

Jan 03, 2018 05:48 am UTC| Commentary Central Banks

Not many economic data and events scheduled for today, and all with low to medium volatility risks associated. Upcoming: Spain: November unemployment change report will be released at 8:00 GMT. Switzerland:...