The January US CPI came in hotter than expected. Headline inflation accelerated to 0.5% m/m (3.0% y/y), and core to 0.4% m/m (3.3% y/y). Core goods and services inflation also moved higher, with the latter boosted by a sharp increase…
Some thoughts on this morning’s CPI report and its implications for the Fed and Treasury yields.
Our Emerging Market strategists published a follow-up piece to their Bessenomics note where they assess the new Treasury Secretary plan’s impact on markets. Lower interest rates are central to Bessenomics. The Trump…
The Bank of England cut its policy rate by 25 bps to 4.5%, with two members of the MPC voting to cut 50 bps instead. The BoE acknowledged “substantial progress on disinflation”, driven by a tight policy stance and stabilized…
Following today’s Bank of England’s policy meeting, at which the policy rate was cut by 25 bps, we discuss our outlook for monetary policy in the UK. We expect the gradual easing to continue and discuss the investment implications…
Trade tensions muddy the outlook for global central banks. The 2010s were an era of low growth and low inflation that called for easy monetary policy. The post-COVID era has been marked by overheating and high inflation calling for…
The January Tokyo CPI came in stronger than expected, with headline inflation accelerating to 3.4% y/y from 3.0%, and “core core” (ex. fresh food and energy) accelerating to 1.9% from 1.8%. The jobless rate also decreased 0.1% to 2.4…
The ECB cut its deposit rate to 2.75%, as was widely anticipated. President Christine Lagarde did not provide any fireworks, but the Governing Council’s message was clear: Policy is restrictive, and inflation will fall further. As a…