News

United States 4-Week Bill Auction fell from previous 3.595% to 3.58%

Source  Fxstreet1781796780
Bank of England: Steady policy path – Deutsche Bank

Deutsche Bank’s Sanjay Raja reviews the latest Bank of England decision, noting Bank Rate was held at 3.75% as expected. He highlights a more divided MPC on paper but a stronger consensus for a prolonged hold.

Source  Fxstreet1781794916

United States EIA Natural Gas Storage Change registered at 73B, below expectations (82B) in June 12

Source  Fxstreet1781793003
Euro set for weakness as BoE, SNB, Norges Bank and Riksbank leave the ECB hiking alone

The Euro (EUR) is caught between a hawkish but isolated ECB, weaker regional growth prospects, and a US Dollar that is recoupling with interest-rate differentials. BNY, Rabobank, and Societe Generale all flag headwinds for the single currency, though each emphasizes a different transmission channel.

Source  Fxstreet1781791533
United Kingdom: Inflation risks and Bank Rate path – RaboResearch

RaboResearch Global Economics & Markets discusses the Bank of England’s decision to keep Bank Rate at 3.75% with a 7–2 split, noting that two members preferred a 25bp hike. The sharp fall in energy prices suggests inflation may peak below earlier projections.

Source  Fxstreet1781790255
Norwegian Krone: August hike prospects rise – Nomura

Nomura economists Josie Anderson, George Buckley, Andrzej Szczepaniak and David Seif note that Norges Bank kept its policy rate at 4.25% in June but delivered hawkish guidance and a higher rate path.

Source  Fxstreet1781787485
ECB’s Lane says further rate hikes remain justified even under milder outlook

The European Central Bank (ECB) remains committed to maintaining a restrictive monetary policy stance in order to contain the inflationary impact of the energy shock, even under a milder economic scenario, according to Chief Economist Philip Lane comments reported by Reuters.

Source  Fxstreet1781786801

Canada Employment Insurance Beneficiaries Change (MoM) declined to -0.5% in April from previous 0.4%

Source  Fxstreet1781786462
United States Initial Jobless Claims dropped to 226K last week

According to a report from the US Department of Labour (DOL) released on Thursday, the number of US citizens submitting new applications for unemployment insurance shrank to 226K for the week ending June 13.

Source  Fxstreet1781786071

United States Continuing Jobless Claims above expectations (1.8M) in June 5: Actual (1.81M)

Source  Fxstreet1781785841

United States Philadelphia Fed Manufacturing Survey registered at 10.3 above expectations (10) in June

Source  Fxstreet1781785809

Canada Industrial Product Price (MoM) below expectations (1.8%) in May: Actual (1.2%)

Source  Fxstreet1781785804

United States Initial Jobless Claims above forecasts (225K) in June 12: Actual (226K)

Source  Fxstreet1781785804

United States Initial Jobless Claims 4-week average: 223.25K (June 12) vs 219K

Source  Fxstreet1781785804

Canada Raw Material Price Index registered at 0.7%, below expectations (1.1%) in May

Source  Fxstreet1781785803

Mexico Private Spending (YoY): 2.2% (1Q) vs previous 4%

Source  Fxstreet1781784231

Mexico Private Spending (QoQ) fell from previous 1% to -0.8% in 1Q

Source  Fxstreet1781784005
Swiss Franc: SNB steady with FX intervention option – Nomura

Nomura reports that the Swiss National Bank kept its policy rate at 0.00% in June and reiterated an increased willingness to intervene in FX markets if necessary to curb Swiss Franc strength.

Source  Fxstreet1781783964
BoE: Steady policy path with active hold – Deutsche Bank

Deutsche Bank’s Chief UK Economist Sanjay Raja notes that the Bank of England kept Bank Rate at 3.75%, matching their expectations. He highlights a more divided MPC on paper but a stronger consensus to hold rates, citing improved data, lower wage and price inflation, and an Iran/US deal.

Source  Fxstreet1781783581
Euro area: ECB hikes see limited regional follow-through – BNY

BNY’s Bob Savage observes that recent ECB hikes have found few followers among other European central banks, with the BoE, SNB, Norges Bank and Riksbank all on hold. Inflation concerns remain largely domestic, while markets continue to price downside growth risks in the Euro area.

Source  Fxstreet1781781934
Norwegian Krone: Norges Bank hawkish hold supports currency – BBH

Brown Brothers Harriman notes Norges Bank kept its policy rate at 4.25% but delivered a hawkish hold by reinforcing guidance for another hike at an upcoming meeting.

Source  Fxstreet1781781022

United Kingdom BoE MPC Vote Rate Unchanged in line with expectations (7)

Source  Fxstreet1781780406

United Kingdom BoE MPC Vote Rate Hike in line with forecasts (2)

Source  Fxstreet1781780405

United Kingdom BoE Interest Rate Decision in line with expectations (3.75%)

Source  Fxstreet1781780402
Swiss Franc: SNB neutrality keeps Franc pressured – BBH

Brown Brothers Harriman reports the Swiss National Bank left its policy rate at 0.00% for a fourth meeting, characterizing the decision as a neutral hold.

Source  Fxstreet1781779987

Spain 10-y Obligaciones Auction dipped from previous 3.392% to 3.383%

Source  Fxstreet1781772598
British Pound: BoE caution weighs on sterling – ING

ING’s Chris Turner expects the Bank of England to leave policy unchanged in a 7–2 vote while sounding hawkish, but ultimately sees UK inflation peaking near 3.5% later this year without triggering tightening.

Source  Fxstreet1781772324
Swiss National Bank's Tschudin: Economic activity in Switzerland is resilient

Swiss National Bank governing board member Petra Tschudin said at the post-monetary policy assessment press conference on Thursday that the “economic activity in Switzerland is resilient, with solid GDP growth in the first quarter.

Source  Fxstreet1781770864
Swiss National Bank's Martin anticipates inflation to remain elevated over coming quarters

Swiss National Bank (SNB) Vice Chairman Antoine Martinis is speaking at the press conference following the June monetary policy assessment, in which the central bank held interest rates unchanged at 0%.

Source  Fxstreet1781770295
Swiss National Bank's Schlegel: Risk of strong upward pressure on the Franc persists

Swiss National Bank (SNB) Chairman Martin Schlegel is addressing the press conference post the June monetary policy assessment, in which the central bank held interest rates unchanged at 0%.

Source  Fxstreet1781769975
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