central bank

The Fed: Gradual Policy Tightening In Full Swing The Fed has reaffirmed its commitment to sticking to its plan of “gradual” policy normalisation with two more hikes forecast this year. The economic outlook is good, with the economy on track to grow by around 4% in Q2 2018, boosted by tax cuts with inflation continuing to creep higher. Employmen...

2018-07-05 James Harte Read more

The month of June stood out with two major central banks taking monetary policy decisions. The U.S. Federal Reserve hiked interest rates by 25 basis points while the European Central Bank announced a modest taper to 15 billion euro starting from September and eventually ending its QE program by December 2018. The U.S. dollar continued to main...

2018-07-03 John Benjamin Read more

As is becoming a theme now, it seems each passing week heralds a new chapter in the legacy of Donald Trump’s presidency. Having remained mostly inactive for the best part of his term this far, Trump has recently opened the floodgates and unleashed a tidal wave of policy adjustments. The main focus of his policy initiatives has of course, been on...

2018-06-26 James Harte Read more
forex intradays analysis

Daily Forex Market Preview, 25/06/2018 Economic data on Friday was mixed but the U.S. dollar was seen giving up some of the gains made from earlier in the week. Japan's national core CPI data showed a 0.7% increase on the year, unchanged from the month before. In the Eurozone, the preliminary manufacturing and services PMI data showed a some...

2018-06-25 John Benjamin Read more
merkel

While most of the recent market attention has been on the political situation in Italy, the political environment in Germany has been bubbling over. The historic alliance between the German CDU party (of Chancellor Merkel) and the Bavarian CSU party has become strained to the point of breaking over diverging views on migration policy. CSU Break...

2018-06-20 James Harte Read more

The market was rocked last week as the ECB delivered a blow with a double-edged sword at its June monetary policy meeting. The central bank announced that it would wind down its massive quantitative easing program by the end of 2018 though bulls were left disappointed as Draghi added the caveat that rates will be kept on hold “at least through t...

2018-06-19 James Harte Read more

Italy will present a new government on Friday based on an unlikely marriage between the left-wing protest 5-Star Movement and the right-wing League. It’s a populist union that found common ground on immigration, taxes and the social safety net. After 3 months of unproductive negotiations, and rejected political appointments, they finally have a ...

2018-06-01 Ashraf Laidi Read more
Eurozone Composite PMI

The latest flash PMI estimates covering manufacturing and services sectors released by Markit last week showed that the level of activity hit the lowest in a year. The flash data covers the month of May and underlined the fact that the Eurozone's economic activity continues to slow. Worries about a slowdown in the global economy still remain ...

2018-06-01 John Benjamin Read more
italian elections mattarella

The Italian elections debacle has taken another plot twist this week as President Mattarella refrained from giving his support for a coalition government between the Five Star Movement and La Lega, which last week looked highly likely to happen. Mattarella blocked finance minister Paolo Savona, the finance minister, from being a member of govern...

2018-05-30 James Harte Read more
ECB Officials Maintain Hawkish View

The ECB President Mario Draghi and other officials were seen speaking over the week as ECB offficials maintain hawkish view. The Lithuanian central bank governor and member of the ECB's governing council, Vitas Vasiliauskas gave an interview to a German newspaper last week. In his interview, Vasiliauskas gave hawkish comments noting that the ...

2018-05-15 John Benjamin Read more