BoE to raise interest rate at a pace of around 75bp annually

Sep 04, 2015 06:40 am UTC| Commentary Central Banks

Most MPC members are unlikely to feel comfortable with the near-term inflation outlook but the pickup in January should reduce concerns. In other words, the BoE can tick off the last but one of our boxes around the turn...

CBR on alert to counter market instability

Sep 04, 2015 04:43 am UTC| Commentary Central Banks

Global risk aversion and the fall in oil prices have pushed the RUB below 70 per USD. The possibility of a rate hike by the Central Bank of Russia is not ruled out and this is caused to initiate a 1y cross-currency payer...

Fed rate hike conditional for renewed USD strength

Sep 04, 2015 03:37 am UTC| Commentary Central Banks

Comments by Fed members suggest the FOMC could still raise interest rates on 17 September. This is the base case scenario due to the optimism for rising US wage growth. It is cognizant of the greater uncertainty due to...

RBNZ's OCR outlook beyond September

Sep 04, 2015 03:11 am UTC| Commentary Central Banks

Sooner or later, the RBNZ will cross the 2.5% threshold. New Zealand is entering a significant economic slowdown at a time when core inflation is already well below the RBNZs target, meaning monetary policy has a great...

RBI to cut repo rate in September

Sep 04, 2015 03:04 am UTC| Commentary Central Banks

The recent drop in Indias CPI inflation should help to assuage inflationary concerns at the central bank. In its latest monetary policy statement in early August, the Reserve Bank of India (RBI) noted that risks to...

BoJ to expand asset purchases this month?

Sep 03, 2015 22:01 pm UTC| Commentary Central Banks

Risk aversion buoyed the cheap JPY (REER) over the past month thanks to Japans current account surplus, but concerns that Chinas slowdown may delay the return of inflation to 2% may prompt the BoJ to expand its QQE...

China FX reserves of $3.65trln to support Chinese Yuan

Sep 03, 2015 20:28 pm UTC| Commentary Central Banks

The August Caixin mfg PMI fell to 47.3 the lowest since March 2009, stoking fresh investor fears of a hard economic landing. The 40% drop in the Shanghai composite since June has sparked a global market malaise. The PBoC...