ECB QE likely to improve euro area inflation outlook

Jul 28, 2015 04:38 am UTC| Commentary

Given preliminary signs that Euro Areas accommodative monetary policy is working, the sovereign bond QE launched by the ECB is likely to improve the euro area inflation outlook. However, any potential positive effect is...

South Korea likely to post 1.1% qoq growth in H2

Jul 28, 2015 04:36 am UTC| Commentary

The Bank of Korea released advance Q2 GDP data on 23 July. The Q2 GDP data clearly shows that the weakness in GDP growth was mostly driven by MERS concerns that should be temporary. In the breakdown by expenditure, the...

Euro Area economic activity to accelerate further

Jul 28, 2015 04:33 am UTC| Commentary

World demand to the euro area grew by a meagre 0.3% q/q, while euro area exports were up 0.6% q/q. Monthly trade data available up to May showed some improvement, along with the export growth. Growth generally remains...

Sterling above $1.55 level, ignores upbeat US data

Jul 28, 2015 04:21 am UTC| Commentary

Pair was trading elevated on Monday despite better-than-expected US durable goods orders for June, ahead of Wednesdays conclusion of the FOMC meeting.Pair stayed in a moderate rebound in July, increasing from the six-week...

Further BoK rate cut in early 2016?

Jul 28, 2015 04:20 am UTC| Commentary

If Korean GDP growth continues to disappoint in Q3 and Q4 2015, and if the BoK has to revise down its GDP growth again in January 2016, it can no longer be ascribed to temporary shocks from MERS concerns. Further BoK...

Daily Economic Outlook: 28th July 2015

Jul 28, 2015 04:11 am UTC| Commentary

The days principal data focus will likely be the first estimate of UK GDP in 2015 Q2, expected to confirm that the slowdown in economic activity in Q1 was temporary. While the headline PMIs have in aggregate softened in Q2...

USD/KRW exchange rates rise likely to raise concern on Korea's capital outflows

Jul 28, 2015 04:09 am UTC| Commentary

BoK might not have to raise the policy rates along with the US Feds rate hikes to prevent potential capital outflows.Historically, the Korean won was not an interest rate-sensitive currency, and policymakers usually worry...