FX Hedging Strategy Series

Consolidation in USD/CAD to extend further, higher U.S rates, lower oil prices to weigh

Nov 03, 2015 11:28 am UTC| Insights & Views Central Banks Technicals

The Bank of Canada in October held interest rates, but painted a gloomy picture of the Canadian economy. The BOC noted that weak oil prices have had a negative impact on the export sector and hurt economic growth. In its...

RBA leaves door to further rate cut wide open

Nov 03, 2015 08:48 am UTC| Commentary Central Banks

As the majority of analysts believed that the Australian central bank left its key rate unchanged at 2.00%. Overall it seemed quite optimistic as regards the Australian economy. There was particular reference to the...

Weak euro with nice side effects for ECB

Nov 03, 2015 08:43 am UTC| Commentary Central Banks

The euro has recovered notably since the spring and on a trade weighted basis it has now appreciated by approx. 4%. The data thus underlines why ECB President Mario Draghi is likely to be so keen for the euro to return to...

RBA monetary policy – assessing the bias

Nov 03, 2015 08:35 am UTC| Insights & Views Central Banks

Reserve Bank of Australia (RBA) decided today to keep its monetary policy steady with interest rates at 2% against some expectations in the market for further easing. Though the central bank may have kept the options...

ECB increasing QE purchases, easier said than done

Nov 03, 2015 06:23 am UTC| Commentary Central Banks

The two options of extending or expanding QE purchases seem nice and easy, but the issue limit could eventually become an issue for the ECB. This is already a problem with the 60bn purchases per month, why ECB raised the...

BoE's first rate hike likely in H1 16

Nov 03, 2015 06:22 am UTC| Commentary Central Banks

After a strong start to the year, the U.K. economy is advancing at a moderately less buoyant pace, with real GDP growth decelerating to 0.5% q/q in the third quarter, down from a 0.7% advance in the prior quarter. U.K....

ECB QE programme's length extension unlikely to be a big surprise to the markets

Nov 03, 2015 05:47 am UTC| Commentary Central Banks

Given the latest decline in Euro areas inflation and as the programme is designed to run until there is a sustained adjustment in the path of inflation. An extension of QE for more than six months would likely be somewhat...