FED hike aftermath series – market becoming hawkish in hike expectation
Jan 05, 2016 12:28 pm UTC| Commentary Central Banks
Market is now more hawkish than last time we checked after FED hike in December and speech from Janet Yellen. Market seems to be expecting FED to be more aggressive in 2016. Lets look at the market pricing of hikes over...
Japan’s wage trend crucial for BOJ policy outlook
Jan 05, 2016 12:01 pm UTC| Commentary Economy Central Banks
USD/JPY has been moving strongly between the range of 118-120, on unexpected Bank of Japans QQE program on 18 December meeting. The pair has been weighed down in the final sessions of year end by weaker risk sentiment and...
Jan 05, 2016 07:05 am UTC| Commentary Central Banks
Sweden Riksbank announced that it has taken the decision required to be able to instantly intervene on the foreign exchange market if necessary, as a complementary monetary policy measure. The intervention decision has...
Chinese Central Bank Injects $20 Billion to Ease Market Worries
Jan 05, 2016 06:42 am UTC| Commentary Central Banks
The Peoples Bank of China (PBoC) has injected 130 billion yuan ($20 billion) in funds into the financial system in order to ease concerns after Mondays market shock. The decision was made after Chinese stocks dropped...
BoK likely to deliver another 25bp rate cut in Q1 2016
Jan 05, 2016 04:32 am UTC| Commentary Central Banks
Korean exports are still accelerating and the underlying trend of challenging external environment likely extending in 2016, the softness in external oriented sectors will keep Bank of Korea accomodative. We maintain...
China’s onshore/offshore interest rate spreads looking stretched
Jan 05, 2016 03:18 am UTC| Commentary Central Banks
Risk aversion gripped Chinese markets yesterday with the benchmark Shanghai Composite Index down by almost 7% (trading in Chinese stock markets was halted). Significant uncertainties on the Chinese economy remain as PMI...
Jan 04, 2016 21:58 pm UTC| Commentary Central Banks
In a press release today, the Riksbank announced that it has taken the decision required to be able to instantly intervene on the foreign exchange market if necessary, as a complementary monetary policy measure. In...
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