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 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…
As expected, the FOMC did not make any changes to its policy rate or pace of asset purchases at its meeting on Wednesday. However, the Fed sent a strong signal that tapering is on the horizon. The statement indicated that “if…
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 Investment Grade: Investment grade corporate bond total returns will be close to zero or negative during the next 12 months. The bonds are also likely to outperform duration-matched Treasuries during that period, but excess…
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…
Home prices around the world are continuing their march higher. Canada’s Teranet-National Bank Composite House Price Index accelerated to 18.4% y/y in August from 17.8%. Similarly, the UK’s Rightmove House Price index advanced 5.…
Highlights Economy – The inflation question is unresolved, and it will remain that way for the rest of the year: August’s CPI report had something for everyone and ensured the debate will continue. Doves could celebrate the…