Fed not worried for turbulence in China and EM

Sep 04, 2015 07:47 am UTC| Commentary Central Banks

In the view of the markets a weak or strong labour market report might catapult the Feds decision in one of two contrasting directions just shortly before the September meeting: no more rate hikes this year or even two at...

ECB's QE extension likely in December

Sep 04, 2015 07:27 am UTC| Commentary Central Banks

The ECB is likely to be under increased pressure to act in view of the notable downward revision of the inflation outlook as the central bank expects the inflation rate fall to 1.5% in 2016. Moreover, the bank is...

Soft external demand weighs on Taiwan's trade

Sep 04, 2015 07:01 am UTC| Commentary

Taiwans exports and imports declined at a double-digit pace for the second consecutive month in July. Export order growth recovered slightly to -5% yoy in July from -5.8% yoy in June. The breakdown shows a rebound in...

CAD outperforms relative to NOK, AUD, NZD

Sep 04, 2015 07:00 am UTC| Commentary

Stronger than forecast retail sales and CPI inflation last month cushioned the fall of the CAD relative to other commodity currencies like the NOK, AUD and NZD. USD/CAD traded a high of 1.3354 and EUR/CAD vaulted...

Moment of truth for PBoC’s reserve sales

Sep 04, 2015 06:43 am UTC| Commentary

Chinas foreign exchange reserves declined by $50bn in July and reached to $3.65trn."The countrys foreign exchange expected to drop by $150bn in August. However, the possible range for the decline in reserves could be quite...

BoE to raise interest rate at a pace of around 75bp annually

Sep 04, 2015 06:40 am UTC| Commentary Central Banks

Most MPC members are unlikely to feel comfortable with the near-term inflation outlook but the pickup in January should reduce concerns. In other words, the BoE can tick off the last but one of our boxes around the turn...

Pound and oil prices weigh on UK inflation

Sep 04, 2015 06:37 am UTC| Commentary

The lower oil price and strong sterling weigh on the near-term UK inflation outlook. CPI inflation will stay at around 0% during the autumn but one cannot rule out that inflation could turn negative again during this...