BoE minutes revealed that members were in a three-way split during last meeting. Seven of the nine members voted for no change. Adam Posen voted for more bond purchases as widely expected while Andrew Sentance voted for rate hike. The minutes noted that "some of the members felt the likelihood View full post on Action Insight [...]
China unexpectedly raised the benchmark lending rate and deposit rates today by 25 bps. One year deposit rate was hiked from 2.25% to 2.5% while lending rate was hiked from 5.31% to 5.56%. This is the first time time the PBoC hiked since 2007. The move is seen by the View full post on Action Insight [...]
Aussie dips again today after RBA delivered a less hawkish than expected minutes. It’s hard to describe the minutes as dovish since RBA is clearly positioned for another rate hike. However, markets are starting to price out the chance of a November hike after the minutes and some believe that View full post on Action Insight [...]
Yen and dollar pare some gains in early US session and risk aversion recedes after reports show Citigroup earnings topped estimate in Q3. Major European stock indices turn positive after initial loss while US stock futures also recovered earlier losses. But still, we mentioned before, dollar should have found a View full post on Action Insight [...]
Dollar rises strongly today, extending Friday’s recovery as traders continue take profits on dollar shorts after Bernanke’s dovish speech has squeezed the last downside move in the greenback in near term. There are additional help to the greenback from yen’s strengthen in crosses on risk aversion, where we see broad View full post on Action Insight [...]
1 EUR = USD 1.397400 :: Inverse 1 USD = 0.715615 EUR View full post on Sloomedia Currency RSS/XML Feed
The new set of trade and money data from China gave more evidence on global economic imbalance and heightened worries about a currency war. While the Chinese government will continue to increase the flexibility of the RMB, it will allow the currency to appreciate gradually, instead of an abrupt leap. View full post on Action Insight [...]
Comments from Brazilian Finance Minister Guido Mantega’s the world is ‘in the midst of an international currency war. This threatens us because it takes away our competitiveness’ have sparked worries about the impacts of competitive currency devaluation on the global economic growth. Economists, central bankers and other finance leaders have View full post on Action Insight [...]
Dollar is generally soft across the board as the week starts but manages to hold on to range exchange versus yen. IMF meeting over the weekend failed to resolve the currency tension. In the statement titled ‘IMF Stepping Up Focus on Global Systemic Stability’, the communique pledged to ‘continue working View full post on Action Insight [...]
Euro extends rally in and breaches 1.4 level against dollar after ECB left rates unchanged at 1.00% today. ECB President Trichet said in the press conference that current rates are “appropriate” and more importantly, “accommodative”. Trichet expect “price developments to remain moderate” and recovery to continue at “moderate” pace. The View full post on Action Insight [...]