Can Tsipras deliver and avoid the worst?
Jul 08, 2015 16:49 pm UTC| Commentary
Greece PM Tsipras could count on the backing of the democratic opposition parties in parliament even for a tough deal, which would offset the loss of his left wing. It is believed that, the interest of the party has been...
Experts believe USD/CLP to reach 650 by September
Jul 08, 2015 12:46 pm UTC| Commentary
Since May 15 the peso weakened 7.2% to 635.According to RBC Capital Markets, "This is close to our 630 June-end forecast. We still believe USD/CLP will break through recent highs to reach 650 by September."Headline...
Brazil's inflation likely above target range
Jul 08, 2015 12:34 pm UTC| Commentary
Following a hawkish Quarterly Inflation Report, BCB still forecasts inflation above the center of the, now tighter, 3.5-5.5% inflation target range.According to RBC Capital Markets, "We therefore expect a 50bp hike on July...
Sharp fall in South Africa's headline inflation
Jul 08, 2015 12:27 pm UTC| Commentary
Headline inflation has dropped significantly in South African in recent months. Unlike Turkey, lower oil prices do seem to have a meaningful impact on headline inflation in SA.SARBs main headache in coming months will...
Fed hike may increase capital outflows from Russia
Jul 08, 2015 12:20 pm UTC| Commentary
A potential US rate hike in Sept. is likely to increase capital outflows from Russia and trigger depreciation and higher volatility of the ruble. CBR is forecasting USD 90bn in net private capital outflows in 2015, and...
Hungary's inflation creeping higher
Jul 08, 2015 09:53 am UTC| Commentary
Inflation continues to creep higher in Hungary, rising slightly to 0.6% y/y in June from 0.5% in May. Normalization of food and energy price inflation is occurring. Hungary began cutting energy prices in 2013 for political...
EUR/CHF closer to fair value in long term
Jul 08, 2015 09:42 am UTC| Commentary
Fair value for EUR/CHF (and even more so USD/CHF) has declined over time, given the negative inflation differential between Switzerland and the rest of the world.But it is not declining fast enough to meet EUR/CHF at...