
Fundamental Evaluation Series: AUD/USD vs. short-term yield spread
Jul 28, 2017 07:46 am UTC| Commentary Economy Central Banks
The chart above shows, how the relationship between AUD/USD and 2-year yield divergence has unfolded since 2012. It can be seen even with a naked eye, that the pair and the yield spread between 2-year treasury and...
FxWirePro: USD against EM Asian baskets - Deploy USD/CNH calendar straddles on Yuan’s mild stiffness
Jul 27, 2017 13:20 pm UTC| Research & Analysis Insights & Views Central Banks
Against the backdrop of continued USD weakness, USDCNY dipped below 6.74 this morning, although the PBoC set the fixing rate even lower at 6.7307. Yesterday afternoon, we saw decent selling USD flows from corporates in...
Jul 27, 2017 10:28 am UTC| Central Banks Research & Analysis Insights & Views
The planned US sanctions against Russia mark a new low in the political relations between the two countries. The US legislation projects new sanctions against state-owned Russian companies in the mining, metal, shipping...
ECB’s Nowotny unveils probable tapering path
Jul 27, 2017 09:51 am UTC| Commentary Central Banks
Austrian central bank governor, a prominent member of the European Central Banks (ECB) governing council, Ewald Nowotny signaled how the central bank might approach a reversal in its easy monetary policy under which the...

FxWirePro: Fundamental drivers and valuations of USD/JPY
Jul 27, 2017 08:26 am UTC| Central Banks Research & Analysis Insights & Views
The US Fed left policy unchanged yesterday evening, as expected, but the accompanying statement did express more concern about the recent softness in prices. The FOMC statement seems to have been the trigger rather than...

Fundamental Evaluation Series: Long-term yield spread vs. EUR/GBP
Jul 26, 2017 11:54 am UTC| Commentary Economy Central Banks
This chart shows the performance of EUR/GBP exchange rate in contrast to the performance of long-term yield divergence between 10-year German Bund and 10-year UK gilt. During our evaluation period beginning August...
Jul 26, 2017 11:33 am UTC| Central Banks Research & Analysis Insights & Views
Brazilian central bank is lined up to announce its monetary policy today, following its last rate meeting in late May the Brazilian central bank had signaled that future rate hikes might happen in smaller steps. This more...