9 Jan 2015
Central Banks in focus - BBH
FXStreet (Guatemala) - Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman noted conditions around the Central Banks.
Key Quotes:
"Even though we read the FOMC minutes to support our narrative, many have given the recent comments by the dovish wing, like Evans and Kocherlakota greater weight. However, ahead of the ECB meeting on January 22, we expect bounces in the euro will be sold."
"At the same time, although our sources tell us it is controversial within the BOJ, many investors expect another increase in QQE as the Bank of Japan's inflation target remains elusive".
"The UK reports CPI next week, and a decline to 0.7% from 1.0% is expected. It will likely encourage investors to push further out the first BOE hike."
Key Quotes:
"Even though we read the FOMC minutes to support our narrative, many have given the recent comments by the dovish wing, like Evans and Kocherlakota greater weight. However, ahead of the ECB meeting on January 22, we expect bounces in the euro will be sold."
"At the same time, although our sources tell us it is controversial within the BOJ, many investors expect another increase in QQE as the Bank of Japan's inflation target remains elusive".
"The UK reports CPI next week, and a decline to 0.7% from 1.0% is expected. It will likely encourage investors to push further out the first BOE hike."