If BoJ stands pat, USD/JPY lower, but still supported medium term

Oct 29, 2015 06:32 am UTC| Commentary Central Banks

Even if the BoJ stays on hold as expected at the upcoming meeting, it probably needs to revise both its growth and inflation outlook, as well as its projected timeline (around 1H FY16) for achieving the price stability...

Fed pries door open for December hike

Oct 29, 2015 04:53 am UTC| Commentary Central Banks

The pretty clear-cut change in the forward-looking portion of the statement suggest that the 2015 hikes are not off the table as far as the Fed is concerned. While this decision will continue to be development-dependent,...

Fed's rate hike likely in Q1 16

Oct 29, 2015 04:53 am UTC| Commentary Central Banks

The October FOMC statement was somewhat more hawkish than expectation. Without a press conference and with only six weeks having passed since the September meeting, it is assumed that FOMC members would be unlikely to have...

Fed likely refocusing on the positives, downplaying the negatives

Oct 29, 2015 04:26 am UTC| Commentary Central Banks

The rest of the FOMC statement other than the rate decision was broadly neutral. The economic assessment was mixed, with softer language on the labor market (the pace of job gains slowed) but firmer language on domestic...

Fed's December hike more likely, but far from certain

Oct 29, 2015 04:24 am UTC| Commentary Central Banks

The Feds message to market participants was clear: do not discount the possibility of a December liftoff. It did not, however, indicate that it is certain or even likely. Prior to todays announcement, analysts pegged...

Fed dependent on data

Oct 29, 2015 04:01 am UTC| Commentary Central Banks

The Fed will round up their second day of meetings today as markets heavily anticipate the 2 p.m. press release. Analysts across the spectrum do not expect a rate increase at this meeting, approximating the chances of a...

Impact of BoJ's QQE on yen rates

Oct 29, 2015 03:42 am UTC| Commentary Central Banks

The BoJ will maintain its current quantitative and qualitative easing (QQE) policy at the Monetary Policy Meeting scheduled for 30 October. However, it is likely to lower its price and growth forecasts in the Outlook...