Dear client, There will be no weekly bulletin next week. Instead, I will be hosting a webcast, with my colleague, Matt Gertken, titled “Currencies And Geopolitics: A Discussion.” I hope you will tune in so that we can have…
The Turkish central bank surprised investors with a 100-basis point rate cut on Thursday, bringing the one-week repo rate down to 18%. The decision comes despite rising inflation. Headline CPI has been steadily climbing since…
The Bank of England kept policy unchanged at its meeting on Thursday. Instead, it revised down its Q3 growth outlook to 2.1% from last month’s 2.9%. However, it highlighted that this revision largely reflects the dampening effect…
The Fed’s policy normalization process is likely to produce a slight hawkish surprise. The central bank will probably raise interest rates earlier and faster than current market expectations (see Country Focus). We do not expect…
As expected, Sweden’s central bank maintained a dovish tone and kept policy unchanged following its meeting on Tuesday. The Riksbank acknowledged that Swedish inflation surprised to the upside relative to its July forecast. As…
Highlights We cannot predict how China will manage Evergrande precisely but we have a high conviction that it will do whatever it takes to prevent contagion across the property sector. However, China’s stimulus tools are losing…
BCA Research’s Foreign Exchange strategists maintain a bearish outlook for the US dollar. US growth momentum is starting to rotate away from the US to other economies. Meanwhile, central banks are beginning to shift towards…
BCA Research’s Global Investment Strategy service upgraded its rating on EM equities and currencies to strong overweight After lagging the global indices, EM stocks are set to outperform during the remainder of this year and…
Highlights Global growth is peaking, but US growth is losing momentum relative to its peers. This has historically been negative for the greenback. Chinese monetary policy is no longer on a tightening path, and might ease going…
Several key financial assets are failing to send a strong signal and instead have been in a state of stasis. Abstracting from day-to-day moves, Treasury yields, the LMEX, and EUR/USD have not been on a clear trajectory since the…