US economy to get back on its 3% recovery track
Mar 09, 2015 17:01 pm UTC| Commentary
US economy added 295,000 jobs in February while the unemployment rate fell to 5.5%. Wage growth, however, is stubbornly low.BofA Merrill Lynch notes in a report on Monday: After a string of weak retail sales reports, we...
Markets do not see approaching policy regime shifts outside the US
Mar 09, 2015 16:54 pm UTC| Commentary
The G-4 central banks are in all-out campaign for regime change: after six-plus years, the Fed and the BoE are gearing up to exit from the rates "zero lower bound", while the ECB and the BoJ are stretching their toolkits...
Lower EUR heightens concerns about deflation risks
Mar 09, 2015 16:15 pm UTC| Commentary
BofA Merrill Lynch notes in a report on Monday: The decline of EUR/USD below 1.10 may be less benign than it may appear at first. We believe it is likely to exacerbate an exit from EM, increase the risk of an RMB...
ECB QE likely to generate EUR negative flows
Mar 09, 2015 16:11 pm UTC| Commentary
BofA Merrill Lynch notes in a report on Monday: Markets have gone a long way to price in ECB QE, but the start of the ECBs actual bond purchases is likely to generate EUR negative flows. In our view, a high share of...
Rising USD fuels recoupling concerns
Mar 09, 2015 16:09 pm UTC| Commentary
BofA Merrill Lynch notes in a report on Monday: The positive correlation between US equities and the USD that reached a 15-year high only three months ago has started to collapse. This likely signals that investors are...
Start of ECB QE unlikely to herald strong recovery
Mar 09, 2015 15:34 pm UTC| Commentary
The euro-zones central banks embarked on the 1.1trn QE programme this morning, causing the euro exchange rate and bond yields throughout the region to extend their previous declines.Recent data have shown credit growth and...
Mar 09, 2015 15:20 pm UTC| Commentary
Quotes from Western Union:- PBoC set Yuans mid-point fixing to its lowest level since Nov as the Yuan continued to trade precariously close to the top end of its 2% band. Over the weekend China reported a record trade...