New loans picked up on PBoC’s monetary easing
Oct 16, 2015 07:21 am UTC| Commentary Central Banks
Chinas financial institutions extended trn new loans in September, up from CNY809bn in the prior month and higher than market expectations. Notably, this is the highest loan extension in September in record, suggesting...
Czech's CB chief hints at possible extension of FX cap
Oct 16, 2015 07:16 am UTC| Commentary Central Banks
EUR-CZK has been drifting lower in recent days again, falling below 27.10 this week; this is a reflection of the general EM rally; CZK has not outperformed PLN or HUF. EUR-CZK is already close to its official 27.00 target,...
FED’s Mester in favor of rate hike in 2015
Oct 16, 2015 07:12 am UTC| Insights & Views Central Banks
Recent weakness in economic data along with financial market turmoil has severely dented rate hike hope this year from FED. This week two key policymakers at FED, Brainard and Tarullo publicly raised the possibility of a...
Long term, the ECB could be forced to consider its target and new asset classes
Oct 16, 2015 06:47 am UTC| Commentary Central Banks
As discussed in our last preview, in a scenario of prolonged undershooting of the inflation, the ECB will need to be open to the idea of taking a longer time to meet the target or reformulating the target. Moreover, in...
ECB cutting the deposit rate further only likely in a much worse scenario
Oct 16, 2015 06:39 am UTC| Commentary Central Banks
With headwinds for the euro area coming mainly from external demand, one option for the ECB would be to push for a weaker euro. While the trade elasticityis not what it used to be, a view shared by the ECBs Governing...
RBA rates to remain on hold through 2015 and 2016
Oct 16, 2015 06:23 am UTC| Commentary Central Banks
History has showed us that banks tend to move close in time, but in differing amounts, when operating out of cycle with the Reserve Bank of Australia. This reflects the common nature of the funding and regulatory shocks...
PBoC's RRR cuts likely in Q4 2015
Oct 16, 2015 05:20 am UTC| Commentary Central Banks
Despite a rebound in new loans, the weak growth and PPI deflation still point to the need for an interest rate cut. The tepid PMIs and deteriorating imports point to a further weakening in growth in September. PBoCs one...
South Africa’s plan to move away from coal: 8 steps to make it succeed
Germany lowers voting age to 16 for the European elections
IceCube researchers detect a rare type of energetic neutrino sent from powerful astronomical objects