OctaFX | OctaFX Forex Broker
Open trading account

Forex Flash: FT reports Osbourne will hand BoE new powers - Societe Generale

Kit Juckes, Global Head of Currency Strategy at Societe Generale has highlighted a report in today´s FT which reports that Chancellor George Osborne is preparing to hand incoming BOE Governor more powers, as a response to his own lack of fiscal room for manoeuvre.

Further, he sees that the FX market has sold sterling on this story and now goes into the MPC meeting short. He writes, “Consensus expectations are that rates will be left at 0.5% and the BOE asset purchase target left at GBP 375bn but there is plenty of talk of a further GBP 25bn increase in the latter. Some movement is probably priced in and an ‘as expected’ no change in either could see short-covering. We look for GBP/USD to head to 1.40 over time, but tight stops seem wise at noon.”

Forex Flash: Central bank meetings leave pound most vulnerable - BTMU

Derek Halpenny, European head of Currency Strategy at the Bank of Tokyo Mitsubishi UFJ notes that today is the day of major central bank meetings and the BoJ meeting resulted in an unsurprising no change in monetary stance.
Read more Previous

Forex Flash: Chinese MPC members signal potential for 2013 rate hike - Nomura

Nomura economist Zhiwei Zhang notes that the Economic Daily News reported that, yesterday, Qian Yingyi, a member of the Monetary Policy Committee, said the economy faces intense pressure to achieve its 3.5% CPI and 13% M2 growth targets in 2013, and a rate hike is possible.
Read more Next
Start livechat