Japan government tax revenue estimated at 25-year high in FY2016 - sources

Dec 20, 2015 11:41 am UTC| Central Banks

Japans government is set to estimate tax revenue at a 25-year high of 57.6 trillion yen ($475.25 billion) in fiscal 2016 due to rising corporate revenue, according to Reuters sources. The draft budget for the next fiscal...

Oil in Global Economy Series

Declining oil prices could push for another rate cut by ECB in 2016

Dec 19, 2015 08:40 am UTC| Commentary Central Banks

Brent prices dropped to $35 per barrel, which constitutes a significant downside risk to the ECBs inflation scenario and is likely to refuel talks of further monetary accommodation through, in particular, another cut in...

Why the Fed didn't let HY market problems prevent a hike

Dec 19, 2015 07:59 am UTC| Commentary Central Banks

One of the reasons offered as reason for the Federal Reserve not to hike was the High yield market developments,but it did anyway. It made the right decision in our view. Scotiabank offers several reasons: Much of...

Fed Hike Aftermath Series

‘Post the first hike’ era begins

Dec 18, 2015 18:45 pm UTC| Commentary Central Banks

In the US, the post the first hike-era is set to begin. As expected, the FOMC and Janet Yellen reiterated that the hiking cycle will be gradual and data dependent. There are many important data releases over the next three...

Bank of Japan fine tunes the QQE programme

Dec 18, 2015 17:53 pm UTC| Commentary Central Banks

As anticipated there were no changes to the QQE programme at the last meeting of the year. However, the BoJ fine-tuned the QQE programme with three changes: to purchase longer maturity bonds, to buy more ETFs that...

Currency War Series

RBA unlikely to raise overnight rate till H2 2017

Dec 18, 2015 12:45 pm UTC| Commentary Central Banks

The growth rate of leading indicators in Australia are disappointing since last five month as the growth rate mired below trend. This indicates a weaker momentum in Australian economy in first half of 2016. Australian...

Fed Hike Aftermath Series

FED hike aftermath series - Why Banxico followed FED to hike rates?

Dec 18, 2015 12:01 pm UTC| Commentary Central Banks

Bank of Mexico, which is widely known as Banxico followed footsteps of US Federal Reserve and hiked interest rate by 25 basis points. The move was widely expected but remains somehow controversial. Inflation rate in...