Forex News
Forecasting Group Advises BoE to Let Wages Rise Before Interest Rates
The EY Item Club report calls for Bank of England policymakers to bolster their forward guidance policy which pledges not to consider lifting the rate from 0.5% until unemployment has fallen to 7%.
Morning Report
Asian markets are mildly flower following release of a batch of Chinese data. Japanese Nikkei, Hong Kong HSI, Shanghai SSE and Singapore Strait Times are all trading in negative territory at the time of writing.
2013 Full Year New Home Sales In China Expected To Hit US$1 Trillion
China’s new home sales last year likely exceeded $1 trillion for the first time as property prices in cities the government considers first tier surged in the absence of more nationwide property curbs.
Measured progress – NZ Employment Confidence Index, Q4 2013
Households’ perceptions of the labour market improved in the December quarter, although the availability of jobs remains well below par. Expectations of future earnings growth have further subsided,
Interest rate rises likely off until March
Interest rate rises should remain on hold till at least March as inflation takes a slight dip in the December quarter, economists say.
Weekly Forex Report
Deflationary forces in the Eurozone to subside? Although a near consensus view, we are of the belief that the US Dollar will continue to gain favour in 2014.
China Regulator Urges Banks To Reduce Short-term Borrowing
China’s banking regulator is pressuring banks to curb reliance on short-term borrowing and control risks from off-balance-sheet lending,
BoE Held Libor Talks A Year Before the Scandal
The Bank of England discussed with top London currency dealers their process for setting foreign exchange rates more than a year before a global investigation into alleged manipulation, according to a document shown to Reuters by the bank.
Danish Central Bank May Need To Raise Rates On Krone’s Weakness
The Danish krone has weakened to a critical threshold within its peg to the euro, pushing the central bank in Copenhagen closer to an exit from 18 months of negative rates, according to Nordea Bank AB.
EU Considers Banning Prop Trading By Banks From 2018
The largest banks in the European Union would face a “narrowly” defined ban on proprietary trading from 2018 under draft plans by Michel Barnier, the EU’s financial services chief.
U.S. Treasury Secretary: Move Soon to Raise the Nation’s Debt Ceiling
Treasury Secretary Jack Lew called on Congress Thursday to move soon to raise the nation’s debt ceiling to ward off any risk of a U.S. default, saying the crunch will come by the end of next month.
Morning Report
The markets are rather quiet in consolidative mode ahead of the weekend. DOW’s rebound lost momentum well ahead of the 16588.25 historical high and closed down -64.93 pts at 16417.01.