20 Mar 2015
EM central banks in the spotlight next week – BBH
FXStreet (Edinburgh) - The research team at BBH reviewed the upcoming central banks’ meeting in the next week.
Key Quotes
“Israel central bank meets Monday and is expected to keep rates steady at 0.10%. After the surprise 15 bp cut last month, we suspect the bank will take a wait and see approach for now”.
“Hungary central bank meets Tuesday and is expected to cut rates 20 bp to 1.90%. We believe rates will likely be cut to 1.5% over the next couple of months, but the pace is hard to forecast”.
“Taiwan central bank meets Thursday and is expected to keep rates steady at 1.875%. However, with the economy slowing, we think there is a risk that the bank moves to a more dovish stance later this year”.
“Philippine central bank meets Thursday and is expected to keep rates steady at 4.0%. The economy has remained pretty firm, but inflation of 2.5% in February is below the 3-5% target range”.
“Czech central bank meets Thursday and is expected to keep policy steady. The forward guidance for keeping the EUR/CZK floor was just extended to “at least H2 2016” and so another shift so soon seems unlikely”.
“South Africa Reserve Bank meets Thursday and is expected to keep rates steady at 5.75%. With inflation falling towards the bottom of its 3-6% target range, the bank could move to a neutral or even dovish stance”.
Key Quotes
“Israel central bank meets Monday and is expected to keep rates steady at 0.10%. After the surprise 15 bp cut last month, we suspect the bank will take a wait and see approach for now”.
“Hungary central bank meets Tuesday and is expected to cut rates 20 bp to 1.90%. We believe rates will likely be cut to 1.5% over the next couple of months, but the pace is hard to forecast”.
“Taiwan central bank meets Thursday and is expected to keep rates steady at 1.875%. However, with the economy slowing, we think there is a risk that the bank moves to a more dovish stance later this year”.
“Philippine central bank meets Thursday and is expected to keep rates steady at 4.0%. The economy has remained pretty firm, but inflation of 2.5% in February is below the 3-5% target range”.
“Czech central bank meets Thursday and is expected to keep policy steady. The forward guidance for keeping the EUR/CZK floor was just extended to “at least H2 2016” and so another shift so soon seems unlikely”.
“South Africa Reserve Bank meets Thursday and is expected to keep rates steady at 5.75%. With inflation falling towards the bottom of its 3-6% target range, the bank could move to a neutral or even dovish stance”.