US Dollar, FX Majors, Rates and SPX into Q4
It was a year ago when the US Dollar had topped and the S&P 500 carved out a bottom. At the time, it seemed low probability as US inflation remained brisk and the trends that were aggressively in-place in the first nine months of the year started to soften around the Q4 open. EUR/USD played a large role here and for that we can draw back to the European Central Bank, who had remained skittish for much of last year regarding inflation and rate hikes for fear of hitting growth in the economy. But the ECB finally started to ramp up hikes last September, and that continued through the 2023 open and that helped to ... (full story)
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The 10-year BTP-Bund spread touched 200bp yesterday – the level that usually triggers a spillover into FX. The euro is starting from an already undervalued position this time, and ...
post: BOJ'S GOVERNOR UEDA: CONSIDERATIONS OF THE BOJ'S FINANCES DON'T PREVENT IT FROM IMPLEMENTING NECESSARY POLICIES. post: BOJ'S GOVERNOR UEDA: SUSTAINABLE AND STABLE ACHIEVEMENT OF BOJ'S 2% INFLATION GOAL IS NOT YET IN SIGHT. THERE IS STILL SOME DISTANCE BEFORE REACHING AN EXIT FROM EASY POLICY. post: BOJ'S GOVERNOR UEDA: IF BOJ'S CREDIBILITY DECLINES, TRIGGERED BY A DECLINE IN PROFITS AND CAPITAL, THIS WOULD HAVE ADVERSE IMPACT ON CONDUCT OF MONETARY POLICY. post: BOJ'S GOVERNOR UEDA: GIVEN THE CURRENT DISTANCE TO AN EXIT, I BELIEVE NOW IS RIGHT TIME TO DISCUSS TOPIC OF THE BOJ'S FINANCES AND MONETARY POLICY CONDUCT FROM AN OBJECTIVE PERSPECTIVE.Central Bank Finances and Monetary Policy Conduct It is my pleasure to have this opportunity to speak at the Japan Society of Monetary Economics. Today I will speak on the theme of "Central Bank Finances and Monetary Policy Conduct." This issue has been gaining heightened interest, with foreign central banks entering the exit phase. On the other hand, in Japan, sustainable and stable achievement of the price stability target of 2 percent has not yet come in sight, and there is still a distance to go before reaching the "exit." Given the current distance, however, I believe now is the right time to discuss this topic from an objective perspective. At the Japan Society of Monetary Economics held 20 years ago, I gave a speech on "The Role of Capital for Central Banks."1 My speech today is a sequel to that one, but the fundamentals are essentially unchanged. Nevertheless, taking into account the developments in monetary policy at home and abroad during the subsequent two decades, I would like to provide somewhat of a review, reflecting upon this important topic once again. At the time of my previous speech, the Bank of Japan had already implemented its quantitative easing policy and had started purchasing new financial assets, such as asset-backed securities. Moreover, amid the global disinflationary trend, other central banks were beginning to consider unconventional monetary policy measures. Under these circumstances, interest in central banks' financial risks grew. In the last 20 years, with the disinflationary trend continuing, major central bank
If you’re going to do financial crimes, maybe an Xbox isn’t your best bet? That is one but hopefully not the only lesson learned by 26-year-old Anthony Viggiano, a former Goldman ...
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There are four large macro forces shape the investment and business climate here at the start of the last quarter of the year. First, the US economic outperformance has been ...
Policymakers from Washington to Frankfurt head into the final quarter of 2023 with tentative grounds for optimism that their fight against inflation is making progress. With ...
post: BREAKING: U.S. Senate approves government funding for 45 days, averting shutdown