NZD/USD jumps on upbeat labour market release, sees downtrend in medium term
Feb 03, 2016 10:31 am UTC| Commentary
The New Zealand Dollar was able to appreciate overnight amid continuous risk aversion in the market. The recovery was partly due to upbeat labour market release for the fourth quarter of 2015, and largely due to the speech...
Market now price in no hike from FED in 2016
Feb 03, 2016 10:13 am UTC| Commentary Central Banks
Market participants are now seeing no chance of a hike in 2016, especially as volatility returned in the market. Bank of Japans (BOJ) introduction of negative rates seem to have only paused the selloffs for a day and...
Demographics likely to continue weighing on Russia’s potential growth
Feb 03, 2016 09:46 am UTC| Commentary Economy
Russias growth is likely to be pulled down due to demographics. The working-age population is likely to continue reducing by 0.3%-0.7% y/y. The participation rate is expected to decline due to ageing of population. A...
Esther George – return of a hawk
Feb 03, 2016 09:37 am UTC| Commentary Central Banks
A well-known hawk and dissenter of FED policy is back on the core-committee of FOMC this year, who will be a decision maker in the board. In the past, Ms. George has remained critique of ultra-loose monetary policy of...
RBNZ likely to ease monetary policy by 25bps in March
Feb 03, 2016 09:34 am UTC| Commentary
New Zealands employment was better than expected in the fourth quarter, as a decline in participation dragged the unemployment rate to 5.3 percent as compared to previous 6.0 percent. The labour cost index was firm at 1.6...
What’s the point of forward guidance, if it misleads?
Feb 03, 2016 08:56 am UTC| Commentary Central Banks
Bank of Japans (BOJ) last weeks action is clearly providing evidence that central bankers of the world are relying more on shock therapy than providing actual guidance. So the question is coming is the era of forward...
Feb 03, 2016 08:42 am UTC| Commentary
Russias economy contracted sharply in 9m15 with GDP declining 3.7% due to international sanctions, terms of trade shock, tightening of monetary policy and the countrys countersanctions. Russias domestic demand has been...