RBA’s minutes for the July meeting revealed that the objective for lowering interest rate in July again was bringing down the unemployment rate and lowering the exchange rate. Unlike the June minutes, the central bank had not hinted more...
The FOMC minutes for the June meeting maintained a dovish tone, paving the way for a Fed funds rate cut later this month. The member generally acknowledged downside risks to growth have intensified while heightened uncertainty, in particular in...
BOC left the policy rate unchanged at 1.75% yesterday and maintained a neutral tone. Policymakers turned more cautious about the impact of trade tensions on economic activities and noted that global interest rates have been lower over the past...
BOC is expected to leave the policy rate unchanged at 1.75% this week, and for the rest of the year. Data flow since the last meeting has remained resilient, offering the central bank more room to take a wait...
As widely anticipated, RBA lowered the cash rate for a second consecutive month today. After the -25 bps cut, the policy rate has reached a fresh record low of 1.00%. At the concluding statement, it pledged to adjust the...
We expect to RBA to cut the cash rate, by -25 bps, to 1% in July. Although this would be earlier than RBA’s projection in the May SoMP, it is largely in line with market expectations, which has priced...
NZDUSD climbed higher after RBNZ left the OCR unchanged at 1.5%, a well-anticipated move. The members maintained a dovish tone, but not more dovish than in the previous meeting. Although the central bank indicated that interest rates might need...
After lowering the policy rate by -25 bps to 1.50% in May, RBNZ would likely remain on hold this month. Domestic economic developments came in largely consistent with policymakers’ projections. Yet, global economic outlook remains uncertain and major central...
FOMC left the policy rate unchanged at 2.25-2.50% but with one dissent. St Louis Fed President James Bullard voted against the decision as he proposed to cut the rate by -25 bps. The dot plot projections show that more...
RBA, in its June meeting minutes, explicitly noted that the policy rate would be lower. This message came in more dovish than market expectations. The major concern remained in the lackluster improvement in the labor market. RBA cut the...
We expect BOE to leave the policy rate unchanged at 0.75% this week. It would also keep the size of the asset purchase program at 435B pound. Although there has been some noise pushing for a rate hike, we...
The Fed could make a number of changes in the upcoming June FOMC meeting, to pave way for a rate cut in as soon as July. We would focus on three things: updated economic projections, adjustment in the forward...
In its quarterly meeting, SNB announced to leave the policy rate – the interest rate on sight deposits, unchanged at -0.75%. On a technical change, the central bank introduced a new benchmark – the SNB policy rate- in replacement...
We believe ECB’s more dovish tone in June is insufficient to stimulate the economy. As expected, ECB extended the timing that the historically- low interest would remain. It also released the pricing of the TLTRO-III. We were slightly disappointed...
For the first time in 3 years, RBA lowered the cash rate by -25 bps to 1.25%, a fresh record low, in June. The rate cut had been well anticipated as the members sought to support the labor market...
We expect the ECB to deliver a more dovish message in June. We expect to see changes in the forward guidance. ECB would also announce the technical details of TLTRO-III. The economic projections would probably similar to the previous...
Despite BOC’s effort to temper the need of a rate cut, the market is obviously unconvinced. Market participants continue to price in about 30% chance of rate cut later this year and USDCAD surged to the highest level since...
We expect BOC to stay put - leaving the policy rate unchanged at 1.75%, at the upcoming meeting. Macroeconomic indicators released since the April meeting showed improvement. Governor Stephen Poloz said in an interview last week that interest rates...
Reinforcing the dovish tone, the minutes for April’s ECB meeting exemplified the members’ pessimism over the economic outlook. They were becoming less confident that the baseline scenario of growth can be achieved. As such, the central bank would try...
The FOMC minutes for the meeting in May unveiled that the members remained optimistic about the economic outlook. They also viewed that soft inflation was a transitory phenomenon. These resulted in the judgment that “a patient approach” to monetary...