Tag Archives: BoE

Sterling washout due, inflation the next clue

A short-term sell-off in sterling shouldn’t come as a surprise. The trinity ofpositioning, flow and data suggest this to be on the cards.

FX: EUR not done yet

With ECB rather relaxed about EUR, the US payrolls so-so, the only hope for USD now is if bad news from China escalate…

EUR has declined slightly to 1.372 ahead of today’s ECB meeting while a strong retail sales report spurred the AUD to rally to 0.901. EM Asia FX continued to strengthen with the exception of the THB which fell 0.1%.

US Morning Update

Most markets were very quiet once again during the London morning, with month-end upon us. Poor investor returns in February have kept the desire to put new trades on very limited this week.

G-20 Agrees On Monetary Policies ‘Calibration,’ Eye On Growth

The first G-20 meeting under Australian leadership managed to agree more than skeptics thought possible – the idea that developed economies will calibrate their monetary policies and

BOE Carney: Forward Guidance A Success On Any Criteria

Bank of England Governor Mark Carney says that the forward guidance which was introduced in August and is already close to expiring has been a success on any criteria.

FX: Denial mode

“When the US sneezes, the rest of the world catches the cold.” Bad US ISM? Weather. Bad Chinese PMI? New Year.

BoE Weale: On Likely Path First Rate Hike Spring Of Next Year

The most likely path for monetary policy shows the first rate hike will come in spring next year, Bank of England Monetary Policy Committee member Martin Weale tells Sky News.

The Global Macro Pulse

The EUR edged higher to 1.3765, while USDJPY was marginally lower to 102.24. AUD fell to a low of 0.899 before reversing to 0.901. A similar pattern was followed by NZD,

UBS Morning Adviser

GBP’s inflation role needs revisiting BoE policymaker David Miles’ warning on GBP earlier this week indeed proved prescient in the wake of the January CPI report.

Technical Alert: Strong euro, weaker dollar, krona (and possibly also the pound)

EUR/USD: Violation above a Jan peak at 1.3740 is a short-term bullishlead. The move is not stretched and is seemingly working itsway through an “Equality point” at market.

BOE Carney: Need Business Investment Rise; Rate Hikes Gradual

Bank of England Governor Mark Carney says he wants to get the message across to business that rate hikes will be “limited and gradual” because higher business investment is crucial for a sustainable recovery.