OctaFX | OctaFX Forex Broker
Open trading account
Back

Flash: The Brazilian central bank has shown its hawkish side - BBH

FXstreet.com (Barcelona) - Ilan Solot, EM Strategist at Brown Brothers Harriman notes that the Brazillian Central Bank has shown its hawkish side and now the focus turns to FX now.

He begins by noting that Bacen accelerated the pace of hikes to 50 bp as he had expected, but against the majority of forecasters. He feels that the most notable development was the committee’s vote count: unanimous, which is in contrast to the April meeting when 2 of the 8 members voted for maintaining rates stable. Now, Solot belives that the focus shifts towards FX markets. He writes, “Before the COPOM announcement yesterday, FM Mantega said that the he sees “no reason to intervene in FX markets.” Now, intervention on Friday will not only provide an important signal about how they will manage the currency, but it will also directly contradict Mantega. This would be a welcome development, in our view, as it will show that Tombini is again trying to establish the central bank’s independence and regain his battered credibility.”

Flash: AUD/CAD remains in consolidation mode – TD Securities

TD Securities research teams said that the AUD/CAD remains in consolidation mode, a little above the recent lows.
Read more Previous

Spain Current Account Balance: €1.4B in Mar from €-1.3B in Feb

Read more Next
Start livechat