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11 Dec 2014
EU session dominated by rate decisions – TDS
FXStreet (Barcelona) - Cristian Maggio, Head of Emerging Markets Research at TD Securities notes that the European session has been dominated by rate decisions, almost equally split between market surprises and announcements in line with expectations.
Key Quotes
“The Norges Bank surprised with a cut 25bp, while the Bank of Russia hiked 100bp, formally in line with consensus, but the range of expectations was so wide at 0-250bp that any decision would have been surprising. Bank Indonesia and the SNB did not surprise markets, while the take-up for the ECB’s second TLTRO came in at €130bn, roughly in line with market consensus (more in the country sections).”
“The EUR is now trading roughly were it was in the overnight session at around 1.2450. Oil prices have continued to fall in Asia, but stabilized during European trading. Last night, a hawkish RBNZ boosted the NZD to over $US0.78.”
“For the rest of the day, all eyes will be on U.S. retail sales, where we are below consensus for headline and core.”
Key Quotes
“The Norges Bank surprised with a cut 25bp, while the Bank of Russia hiked 100bp, formally in line with consensus, but the range of expectations was so wide at 0-250bp that any decision would have been surprising. Bank Indonesia and the SNB did not surprise markets, while the take-up for the ECB’s second TLTRO came in at €130bn, roughly in line with market consensus (more in the country sections).”
“The EUR is now trading roughly were it was in the overnight session at around 1.2450. Oil prices have continued to fall in Asia, but stabilized during European trading. Last night, a hawkish RBNZ boosted the NZD to over $US0.78.”
“For the rest of the day, all eyes will be on U.S. retail sales, where we are below consensus for headline and core.”