Nordic & Swiss Central Bank Watch SNB to keep policy loose to support inflation’s rise The Swiss National Bank will once again stress after its meeting on 15th June that it remains prepared to act to prevent any significant renewed appreciation of the Swiss franc. Granted, the recent... 8th June 2017 · 1 min read
China Data Response FX reserves (May) The latest rise in China’s foreign exchange reserves suggests that the People’s Bank (PBOC) became net buyer of FX for the first time in well over a year last month. This reflects an easing of capital... 7th June 2017 · 1 min read
UK Markets Outlook Equities will struggle to make further headway Stock markets have shrugged off the uncertainty created by Brexit, with the FTSE 100 rising by 19% since the EU referendum last year. However, the key supports of the rally have now faded. First, the... 2nd June 2017 · 1 min read
EM Valuations Monitor How stretched are the valuations of EM equities? Emerging market equities have continued to climb over the past month. Their rise has been partly fuelled by an increase in earnings. Valuations have also picked up, although they still do not look... 2nd June 2017 · 1 min read
Asia Economics Update Asian equities continue strong run Asian equity markets have outperformed other EM markets over the past month, with bourses in Korea, India, Pakistan and Indonesia all reaching record highs in May. We are revising our equity forecasts... 31st May 2017 · 1 min read
China Economics Update Renminbi jumps as fixing mechanism changes China’s markets were left unfazed by the ratings downgrade last week. But there have been some sizeable gains since then in the renminbi as policymakers have signalled their determination to prevent... 31st May 2017 · 1 min read
Nordic & Swiss Economics Update Currencies rise against dollar while bond yields decline The Nordic and Swiss currencies all appreciated against the US dollar in May, but performances against the euro were mixed. Following global trends, government bond yields generally declined. While... 31st May 2017 · 1 min read
Africa Economics Update Africa: Rand driven by politics, most markets strengthen South Africa’s ongoing political drama caused the rand to wobble this month, but the currency soon stabilised. Equities across the region performed well, with Nigerian stocks leading the charge. 31st May 2017 · 1 min read
Latin America Economics Update Temer fallout contained, but yield curve steepens Brazil’s financial markets sold off sharply in the immediate aftermath of the latest corruption allegations against President Temer, with equities, the currency and bonds all coming under pressure... 26th May 2017 · 1 min read
Emerging Europe Economics Update Central Europe’s currencies outperform Currencies in Central Europe have been the best performing in the emerging world over the past month and we think that they should generally fare well in the coming years. 26th May 2017 · 1 min read
China Economics Update PBOC tightens the renminbi’s leash The change in the renminbi fixing mechanism announced today shouldn’t rattle markets, not least because it appears to be an attempt to strengthen rather than weaken the currency. It suggests though... 26th May 2017 · 1 min read
Nordic & Swiss Economics Update Buoyant euro-zone will help the SNB fight franc strength Given the improvement in the euro-zone’s political and economic outlook and the relative stance of monetary policy, we no longer expect the Swiss franc to appreciate against the euro. But the franc... 25th May 2017 · 1 min read
UK Economics Update Sterling’s Brexit recovery can go further While the pound could fall again if the economy weakens or Brexit prospects worsen, there are good reasons to think that its recent appreciation can continue. 25th May 2017 · 1 min read
Europe Economics Update Economic prospects to maintain support for the euro The euro’s recent appreciation against the US dollar appears to reflect better prospects for euro-zone growth and has occurred despite expectations that ECB monetary policy will remain very loose... 23rd May 2017 · 1 min read
China Economics Update Capital Flows Monitor (Apr.) After a sharp decline at the start of the year, net capital outflows have crept up again recently. Unless we witness another misstep on exchange rate policy though, outflow pressure should remain... 23rd May 2017 · 1 min read
India Economics Update Sensex continues to surge Indian equities have rallied over the past few months, with the benchmark Sensex stock index hitting a fresh all-time high in mid-May. This reflects in part a broader pick-up across most major EM... 22nd May 2017 · 1 min read
