Interest rates news

Speaking with the Financial Times on Thursday, European Central Bank's Ewald Nowotny says that it makes sense that the ECB would not cut too much too soon. At its governing council meeting in November, the ECB surprised some by only cutting its main refinancing rate by 50 basis points to 3.25%. With the Bank of England having just minutes before cut its Bank Rate by an unexpected 150 basis points,…

The poor data for the US housing sector push the dollar to levels above 1.28 but fast recovery during the US session. The traders predict poor data for the Euro Zone. The Fed will probably cut the interest rates to 0.5% based on the latest inflation report.

Current Yesterday USD 0.43750 0.40000 GBP 3.00000 3.00000 EUR 2.93375 2.97625 JPY 0.53250 0.52750 CHF 0.98333 0.99167 AUD 5.62500 5.75000 CAD 2.55833 2.56667 NZD 6.70000 6.78750

(CEP News) - All 35 economists polled by Bloomberg are unanimously expecting no change to the Bank of Japan's target rate on Friday, seeing as a 20 basis point cut was delivered from the board just three weeks ago. But, some say, despite a low 0.30% target rate, further cuts next year are quite possible.

The British pound gained throughout much of the morning to reach an intraday high of 1.5249, but subsequently fell back below 1.50 as UK interest rate...

(CEP News) - It was another day of dismal economic news, which sent stocks down sharply and the S&P 500 to its lowest level in five years. Minutes released today from last month's FOMC meeting revealed the U.S. GDP forecast was revised down substantially for 2009, while October housing starts fell to the lowest level since 1959. Also setting a new record, U.S. core inflation fell in October for th…

(CEP News) - Fed funds futures are pricing in an 80% chance of a 50 bps rate cut by the year-end FOMC meeting, following a negative drop in the core CPI rate.

(CEP News) - Indications the Federal Reserve will lower interest rates and continued pressure on equity markets led to a rally in short-dated fixed income on Wednesday, sending short-dated yields to the lowest level in more than three decades.

(CEP News) - On Wednesday, the Bank of Japan's Policy Board will meet in preparation for its upcoming interest rate decision.

An interest rate is one of the key elements to valuing a currency; however, there are times when other factors are more important to the market. Considering...

(CEP News) - Bank of England Deputy Governor Sir John Gieve said more interest rates may be needed as inflation is expected to remain below target in the medium term.

(CEP News) - The minutes of the Federal Open Market Committee's (FOMC) Oct. 28-29 meeting released Wednesday show that board members reduced their GDP forecast down by two percentage points. The Committee believes modest growth will return in the second half of next year and near-potential growth could be restored in 2010. Inflation remains a concern, but FOMC members expect prices to fall.

(CEP News) - The Federal Open Market Committee (FOMC) will release the minutes of its Oct. 29 meeting on Wednesday. The minutes could elaborate on the perceived dovish bias from the Fed, give some details from the intermeeting cut eight days before, and highlight any debate between members on whether cutting rates 50 basis points to 1% was the best action.

(CEP News) Ottawa - In the face of a deepening global recession, countries around the world need to co-operate in developing reforms that speed a recovery and guard against a repeat of the turmoil that has roiled global economic markets for the past year-and-a-half, Bank of Canada Governor Mark Carney said Wednesday. He also said that further Canadian interest rate cuts are likely required.

(CEP News) - U.S. inter-bank lending rates are mixed on Wednesday with overnight lending rates moving higher and three-month rates heading further south as the U.S. government mulls a bailout for the auto industry.

(CEP News) - Markets are currently pricing in the following probabilities for future interest rate moves as of the close on Tuesday:

Current Yesterday USD 0.43750 0.40000 GBP 3.00000 3.00000 EUR 2.93375 2.97625 JPY 0.53250 0.52750 CHF 0.98333 0.99167 AUD 5.62500 5.75000 CAD 2.55833 2.56667 NZD 6.70000 6.78750 3-month...

Expectations of another rate cut rise after the release of minutes from the Bank of England meeting which slashed rates to 3%.

The Bank of England unanimously voted to lower their benchmark rate 150 bps at their November 6th meeting due to increasing downside risk to growth and...

The Bank of England has affirmed that its decision to cut its Bank Rate by 1,50% announced in November the 6th was approved unanimously, based on the need to react against the impact of the credit crisis through a substantial monetary loosening, according to the minutes of the meeting.

(CEP News) Frankfurt - The Bank of England's Monetary Policy Committee had voted unanimously to cut its Bank Rate by 150 basis points at its meeting on November 5 and 6, the BOE Minutes revealed on Wednesday.

The Bank of England Minutes from the November 6th policy meeting showed that the MPC voted unanimously to lower the benchmark interest rate by 150bp to...

(CEP News) - Economists are forecasting that the Bank of England's decision to cut the benchmark interest rate by 150 bps to 3.00% on Nov. 6 was unanimous among members of the Monetary Policy Committee, and they will be seeking confirmation of another large cut at the Dec. 4 meeting.

The minutes from the BoE November 5-6 meeting showed a unanimous 9-0 vote behind the 150 bp rate cut and revealed that a larger move was even discussed...

(CEP News) - Asia-Pacific fixed income markets are gaining and equities closed lower with yields on Australian 10-year bonds down 12.4 bps to 4.84% and Japanese 10-year government bonds down 1.0 bps to 1.48%.

Eur/usd - 1.2625...Trading flows have been relatively light in Asia with no major data out of the eurozone (focus will be on U.K. MPC vote outcome, U.S. CPI data n FOMC meeting minutes). A mixture of bids n stops is seen in the region of 1.2580-1.2600 with buying interest found at 1.2550 while offer...

by Johan Kriek (jkriek@fxinstructor.com) Key Notes: - BoE: 9-0 vote for 150bps cut, signals more to come Key Events still to come: - US Housing figures - US CPI - FOMC meeting minutes Probability Studies: The EUR is still situated in a no trade zone as price cannot violate the bearish current trend at 1.2660 to the upside to signal a confirmed continuation [...]

(CEP News) - On Wednesday, all eyes will be on U.S. CPI to see if inflation is starting to fall.

(CEP News) - Markets will pay close attention to the Bank of England's Monetary Policy Committee (MPC) minutes from the November 6 meeting, which could signal more aggressive cuts in December. At the November meeting, the bank cut rates by 1.50%, bringing interest rates to 3.00%.

(CEP News) - Fed funds futures are pricing in a 90% chance of a 50 bps rate cut by the year-end FOMC meeting, following a plunge in producer prices.

British pound remains under pressure as UK CPI fell more than expected on Tuesday, while the release of the BOE's November meeting minutes could signal...

(CEP News) - The Federal Open Market Committee (FOMC) will release the minutes of its Oct. 29 meeting on Wednesday. The minutes could elaborate on the perceived dovish bias from the Fed, give some details from the intermeeting cut eight days before, and highlight any debate between members on whether cutting rates 50 basis points to 1% was the best action.

(CEP News) - Economists are forecasting that the Bank of England's decision to cut the benchmark interest rate by 150 bps to 3.00% on Nov. 6 was unanimous among members of the Monetary Policy Committee, and they will be seeking confirmation of another large cut at the Dec. 4 meeting.

(CEP News) - U.S. inter-bank lending rates are holding steady on Tuesday morning as markets await testimony from U.S. Treasury Secretary Henry Paulson, Fed Chairman Ben Bernanke and FDIC Chair Sheila Bair before the House Financial Services Committee's hearing on the TARP program at 8:30 a.m. EST.

(CEP News) - Markets are currently pricing in the following probabilities for future interest rate moves as of the close on Monday:

The U.S. dollar remains the currency of choice as investors continue curb their appetite for risk, and a weakening interest rate outlook for the British...

(CEP News) - The German, ten-year Bund was up 9.0 ticks to 118.83 with yields down 1.4 bps to 3.65%, while the 10-year gilt was up 46.0 ticks to 115.18 with yields down 5.1 bps to 4.05%.

(CEP News) - Asia-Pacific fixed income markets are mixed and equities closed lower with yields on Australian 10-year bonds flat at 4.96% and Japanese 10-year government bonds up 1.1 bps to 1.50%.

Current Yesterday USD 0.40000 0.40000 GBP 3.00000 3.00000 EUR 2.97625 3.00625 JPY 0.52750 0.52000 CHF 0.99167 0.99167 AUD 5.75000 5.81250 CAD 2.56667 2.50000 NZD 6.78750 6.62500 3-month...

(CEP News) - The Reserve Bank of Australia Minutes from the November meeting revealed Governor Glenn Stevens offered the choice of a 50 or 75 basis point cut, but in light of the more recent data suggesting further downside risks to their economy, the board went with 75 basis points.

(CEP News) - Fed funds futures are factoring in a 98% chance of a 50 bps rate cut by the Dec. 16 FOMC meeting following weak manufacturing data on Monday.

(CEP News) - U.S. inter-bank lending rates are relatively unchanged on Monday after a meeting of the G-20 over the weekend.

(CEP News) - Markets are currently pricing in the following probabilities for future interest rate moves as of the close on Friday:

Current Yesterday USD 0.40000 0.41250 GBP 3.00000 3.00000 EUR 3.00625 3.05125 JPY 0.52000 0.53750 CHF 0.99167 0.96667 AUD 5.81250 5.75000 CAD 2.50000 2.46667 NZD 6.62500 6.47500 3-month...

(CEP News) - The German, ten-year Bund was down 23.0 ticks to 118.53 with yields up 1.4 bps to 3.69%, while the 10-year gilt was down 43.0 ticks to 114.61 with yields up 4.5 bps to 4.12%.

(CEP News) - Asia-Pacific fixed income markets are gaining and equities closed mixed with yields on Australian 10-year bonds down 6.5 bps to 4.97% and Japanese 10-year government bonds down 0.7 bps to 1.49%.

(CEP News) - Fed funds futures are pricing in an 84% chance of a 50 bps cut for the Dec. 16 FOMC meeting, following a record drop in U.S. retail sales and a decline in import prices.

(CEP News) - The ever-lingering question in Japan, whether or not the country is in a recession, will be answered in full next week upon the release of Japan's third-quarter gross domestic product (GDP) figures.

Overnight Libor Rates (17:25GMT) Current Thursday(17:25 GMT) USD 0.41250 0.40000 EUR 3.05125 3.07875 GBP 3.00000 3.00000 JPY 0.53750 0.54375 CHF 0.96667...

(CEP News) - Economists say the worse-than-anticipated retail sales report, which recorded the largest monthly declines on record for the all-items index as well as the ex-auto component, sets up the U.S. economy for a terrible fourth quarter. With inflation off the radar and consumption at 17-year lows, several analysts said the Federal Reserve should cut rates another 50 basis points to stimulat…

(CEP News) - U.S. inter-bank lending rates are higher on Friday as renewed concerns over the fate of the economy are back again in the forefront.

Current Yesterday USD 0.41250 0.40000 GBP 3.00000 3.00000 EUR 3.05125 3.07875 JPY 0.53750 0.54375 CHF 0.96667 0.98333 AUD 5.75000 5.90000 CAD 2.46667 2.55833 NZD 6.47500 6.38750 3-month...

(CEP News) - The euro zone economy contracted 0.2% quarter-over-quarter in Q3, in line with expectations and officially putting the monetary union in a technical recession, according to preliminary estimates from Eurostat. Following the GDP data publication, the German, 10-year Bund is down 35.0 ticks to 117.98 with yields up 11.0 bps to 3.75%, while the 10-year gilt was down 31.0 ticks to 114.51 …

(CEP News) - Asia-Pacific fixed income markets are declining and equities closed higher with yields on Australian 10-year bonds up 12.2 bps to 5.03% and Japanese 10-year government bonds flat at 1.50%.

(CEP News) - Fed funds futures are pricing in an 80% chance of a 50 bps rate cut for the Dec. 16 FOMC meeting, following an initial jobless claims report in the U.S. that hit a seven-year high.

Overnight Libor Rates (17:25GMT) Current Wednesday(17:10 GMT) USD 0.40000 0.38250 EUR 3.07875 3.16875 GBP 3.00000 3.03750 JPY 0.54375 0.55125 CHF 0.98333...

(CEP News) - One day after the Treasury Department's announcement that it will not purchase troubled assets from firms, opting in favour of equity injections instead, overnight lending rates in the United States are higher on Thursday morning.

(CEP News) - Markets are currently pricing in the following probabilities for future interest rate moves as of the close on Wednesday:

Current Yesterday USD 0.40000 0.38250 GBP 3.00000 3.03750 EUR 3.07875 3.16875 JPY 0.54375 0.55125 CHF 0.98333 1.00000 AUD 5.90000 5.73750 CAD 2.55833 2.66667 NZD 6.38750 6.00000 3-month...

(CEP News) - The German, ten-year Bund was down 4.0 ticks to 118.42 with yields flat at 3.63%, while the 10-year gilt was up 11.0 ticks to 114.76 with yields down 1.1 bps to 4.10%.