23 Jul 2013
Flash: Todays afternoon’s focus is EM Central Banks – TD Securities
FXstreet.com (London) - Tim Davis, Global Strategist, Rates and FX Research, TD Securities said the focus for the remainder of the day will be on EM central banks.
Key Quotes:
“The CBRT is expected to hike, as we look for a 50bp increase to the overnight lending rate, but that is likely to disappoint the market without more language to suggest more to come”.
“Meanwhile, the NBH are widely expected to cut 25bp but have announced a press briefing, which means the NBH see this meeting having “strategic importance.” But the risks are unclear as they have sent signals that more significant easing may be needed, but could just as well want to suggest signposts for the end of easing after recent data has been strong”.
“Elsewhere, we see upside risks to Canadian retail sales today, while US markets are likely to be more interested in Apple earnings after the close”.
Key Quotes:
“The CBRT is expected to hike, as we look for a 50bp increase to the overnight lending rate, but that is likely to disappoint the market without more language to suggest more to come”.
“Meanwhile, the NBH are widely expected to cut 25bp but have announced a press briefing, which means the NBH see this meeting having “strategic importance.” But the risks are unclear as they have sent signals that more significant easing may be needed, but could just as well want to suggest signposts for the end of easing after recent data has been strong”.
“Elsewhere, we see upside risks to Canadian retail sales today, while US markets are likely to be more interested in Apple earnings after the close”.