Headline inflation, ZAR volatility and demand lead to SARB’s monetary tightening

Oct 14, 2015 13:14 pm UTC| Insights & Views

The source of lower than expected inflationary pressures remains unclear. Exchange rate depreciation and a significantly undervalued rand should be pulling inflation back above 5%. Nevertheless, the latest reading for...

Pound breaks PDH, over weaker US retail sales

Oct 14, 2015 13:11 pm UTC| Insights & Views

US retail sales just grew by 0.1% in September from August, down by -0.3% when excluding the auto components. It has given cue to the global currencies most of which are up against Dollar, including 24 emerging market...

New Zealand’s milk output to decline for two years for first time in four decades

Oct 14, 2015 12:42 pm UTC| Insights & Views

When it comes to milk, New Zealand is the most significant player, who produces more than a third of global production. Milk price over the past one year has dropped close to 60%, excluding the recent rise and it is...

Chinese bond auctions shows signs of overheating

Oct 14, 2015 12:09 pm UTC| Insights & Views

China today auctioned 10-year bonds with the lowest coupon seen since 2008, showing that investors has found new gateway to push money into as stock market crashed. Yield on the 10 year bond was just below 3%, which is...

Kiwi might gain further on soft commodities rise as RBNZ worries on housing inflation

Oct 14, 2015 11:33 am UTC| Insights & Views

Kiwi might gain further against Dollar, which already up close to 500 pips from its recent low. Soft commodities across globe are showing sharper turn around, which might buoyant the mood for Kiwi. In another event RBNZ...

Brainard and Tarullo counter Yellen’s outlook for 2015 rate hike

Oct 14, 2015 11:21 am UTC| Insights & Views Central Banks

Divisions among US Federal Reserve has come into spot light as two key policy makers chose to speak against the merit of a rate hike this year, which is in clear contrast to what US Federal Reserve chair Janet Yellen has...

Additional policy easing from Monetary Authority of Singapore unlikely in April 2016

Oct 14, 2015 11:07 am UTC| Insights & Views Central Banks

The Monetary Authority of Singapore in a somewhat unexpected move today lowered the SGD NEER slope by 0.5% to 1% from the previous market assumption of 1.5%. The much-smaller-than-expected move suggests that the MAS...