BoE Watch BoE Watch: Does the weak economy create a case for cutting rates faster? The Bank of England will probably strike a balance between the recent weak news on activity and the stronger news on price pressures by cutting interest rates by a “gradual” 25 basis points (bps)... 30th January 2025 · 6 mins read
Europe Rapid Response ECB Policy Announcement (January 2024) The ECB’s decision to cut its deposit rate from 3% to 2.75% today came as no surprise and the accompanying statement implies that more cuts are coming, as is widely anticipated. We think the Bank will... 30th January 2025 · 2 mins read
Latin America Rapid Response Brazil Interest Rate Announcement (Jan.) Brazil’s central bank delivered on its pledge to deliver another 100bp hike to the Selic rate, to 13.25%, and another 100bp increase at March’s Copom meeting is all but certain. For now, we are... 29th January 2025 · 2 mins read
US Economics Update US Fed moves to the sidelines The Fed left its key policy rate unchanged at between 4.25% and 4.50% today and the accompanying statement suggests the FOMC is happy to remain on the sidelines, as it awaits more clarity on the... 29th January 2025 · 2 mins read
US Rapid Response US Fed Policy Announcement (Jan) The Fed left its key policy rate unchanged at between 4.25% and 4.50% and the accompanying statement suggests the FOMC is happy to remain on the sidelines, as it awaits more clarity on the potentially... 29th January 2025 · 2 mins read
Canada Economics Update Bank cuts by 25bp amid looming 25% tariff threat With the economy doing better recently, the Bank of Canada’s decision to cut by 25bp today might have been a closer call were it not for the looming threat of tariffs. Admittedly, the Bank hinted that... 29th January 2025 · 3 mins read
Canada Rapid Response Bank of Canada Policy Announcement (Jan. 2025.) With the economy doing better recently, the Bank of Canada’s decision to cut by 25bp today might have been a much closer call were it not for the looming threat of US tariffs. Any tariffs could hit... 29th January 2025 · 3 mins read
RBI Watch RBI Watch: New governor, new direction for monetary policy The announcement of large liquidity injections into the banking sector demonstrates how the priorities of the RBI – led by new Governor Sanjay Malhotra – have shifted from containing inflation to... 29th January 2025 · 6 mins read
Europe Economics Update The end is in sight for the Riksbank We think that next week the Riksbank will cut its policy rate for the final time this cycle, reducing it from 2.5% to 2.25%. After that, we do not see a need for policymakers to loosen policy any... 24th January 2025 · 5 mins read
Japan Economics Update Bank of Japan will lift rates to 1.25% by mid-2026 The Bank of Japan signalled further tightening when it lifted its policy rate to 0.5% today. With inflation set to remain above its 2% target this year, we expect the policy rate to reach 1.25% next... 24th January 2025 · 3 mins read
ECB Watch Slow and steady cuts by the ECB The ECB looks set to cut its deposit rate from 3.00% to 2.75% next week and signal that further reductions are likely. But it will stop short of giving any precise guidance about the timing and scale... 23rd January 2025 · 7 mins read
Europe Economics Update Norges Bank prepares the ground for rate cuts Today’s policy announcement confirms that Norges Bank is likely to start cutting interest rates at its meeting in March, almost certainly with a 25bp reduction to 4.25%. We think it will then loosen... 23rd January 2025 · 2 mins read
Europe Rapid Response Norges Bank Policy Announcement (January 2025) Today’s policy announcement confirms that Norges Bank is likely to start cutting interest rates at its meeting in March. We think it will then loosen monetary policy a little more quickly than its... 23rd January 2025 · 2 mins read
Bank of Canada Watch Bank of Canada Watch: Tariff uncertainty favours 25bp cut The recent pick-up in GDP growth and core inflation pressures could justify a pause from the Bank of Canada next week but, with tariffs clouding the economic outlook, we judge that the Governing... 22nd January 2025 · 6 mins read
US Fed Watch US Fed Watch: Fed to pause easing cycle We expect the strength of the economy and uncertainty over immigration and trade policy to prompt the Fed to pause its easing cycle at next week’s FOMC meeting, despite recent improvements in the near... 22nd January 2025 · 8 mins read
