DM Markets Chart Pack Fears of currency debasement buoy the euro The strength of the euro against the dollar in September coincided with a change in investors’ perceptions about the relative outlook for unconventional monetary policy on either side of the Atlantic... 6th October 2010 · 1 min read
Latin America Economics Update More bad news on Mexico's recovery September’s IMEF survey brought further evidence that Mexico’s recovery is starting to slow. We expect growth to dip to just 2.5% next year and interest rates to remain at their current record low of... 5th October 2010 · 1 min read
Japan Economics Update What should we make of the BoJ's latest moves? Today’s announcements of a new asset purchase scheme by the Bank of Japan (BoJ) and its symbolic lowering of the key policy rate are not game changers and the tepid market response is probably... 5th October 2010 · 1 min read
Asia Economics Update Australia's monetary policy tightening to resume soon The Reserve Bank of Australia (RBA) unexpectedly held its cash rate at 4.5% today. Nonetheless, the RBA did state that rate hikes are likely if the economy develops in line with its main-case... 5th October 2010 · 1 min read
Asia Economics Update Bank Indonesia on hold but not for much longer As expected, Bank Indonesia (BI) today held the policy rate steady at 6.5%. Monetary conditions have actually tightened in recent months given that rupiah appreciation has more than offset the fall in... 5th October 2010 · 1 min read
Japan Economics Weekly Bank of Japan set to disappoint markets This week's focus will be on the Bank of Japan's Policy Board meeting, which concludes on Tuesday. Hopes of further monetary easing are high, but we see two risks. The first is simply that the Bank... 4th October 2010 · 1 min read
US Economics Weekly Fed edging towards more QE It is looking increasingly likely that the Fed will announce a new round of quantitative easing, probably before the end of the year. Our guess is that it will opt for a smaller scale open-ended... 4th October 2010 · 1 min read
China Economics Update Where are interest rates heading? What should we make of speculation that interest rates could soon be hiked? Rates have been rising in much of emerging Asia for a while and we believe that rate increases would be a good idea for... 30th September 2010 · 1 min read
ECB Watch ECB in danger of slipping behind The euro-zone economy as a whole might be faring better than others for now, but strains in the region’s periphery have continued to mount. The ECB will provide reassurance after its forthcoming... 30th September 2010 · 1 min read
Asia Economics Update Domestic demand leading Thailand's growth Today’s batch of August data highlight the continued slowdown in manufacturing, which is heavily focused on exports production. The easing in this area is not over but domestic demand is well-placed... 30th September 2010 · 1 min read
Asia Economics Update Taiwan's tightening cycle has probably run its course Following today’s expected rate hike, the outlook for monetary policy in Taiwan depends largely on what happens to property prices. We think there is a good chance rates will return to being on hold. 30th September 2010 · 1 min read
BoE Watch MPC edging towards more QE Signs that the economic recovery is fading have prompted the Monetary Policy Committee(MPC)to move slightly closer to providing the economy with more stimulus. Indeed, a three way split vote looks... 30th September 2010 · 1 min read
Bank of Japan Watch Yen intervention not yet a significant monetary tool The recent currency intervention by the Bank of Japan was almost certainly not the major shift in monetary policy that many seem to assume. The move was ordered by the Ministry of Finance and the... 29th September 2010 · 1 min read
Asia Economics Update Pakistan continues to make the right moves Pakistan’s central bank (SBP) today lifted its discount rate by 50bp to 13.5%, as was expected. Rates will probably be increased again later this year but 14% should be the peak. 29th September 2010 · 1 min read
Emerging Europe Economics Update Russian rates on hold, policymakers remain dovish The Central Bank of Russia (CBR) kept its key interest rates unchanged earlier today and issued a dovish accompanying statement. But in reality official interest rates have little bearing on market... 29th September 2010 · 1 min read
UK Economics Update What else can the MPC buy? The Monetary Policy Committee (MPC) may soon relaunch its programme of quantitative easing (or QE). But this time around, the Committee could buy a rather wider range of assets. 28th September 2010 · 1 min read
