24 Sep 2013
Flash: The battle of the Doves - Societe Generale
FXstreet.com (Barcelona) - Kit Juckes, Global Head of Currency Strategy at Societe Generale notes that recently, the doves have been fighting it out:
Key Quotes
“The doves are out in force this week. Mario Draghi is dangling the carrot of a further LTRO in front of markets as part of his attempt at keeping interest rate expectations low, regardless of the improved PMI data.”
“And New York Fed President Bill Dudley sounded yesterday like a man who wants to ‘taper’ when there are clear(er) signs that growth is picking up, but not before.”
“This leaves a mildly bullish tone to government bond markets, a standoff between EUR, USD and JPY in major FX markets, and consolidation in equities/credit.”
Key Quotes
“The doves are out in force this week. Mario Draghi is dangling the carrot of a further LTRO in front of markets as part of his attempt at keeping interest rate expectations low, regardless of the improved PMI data.”
“And New York Fed President Bill Dudley sounded yesterday like a man who wants to ‘taper’ when there are clear(er) signs that growth is picking up, but not before.”
“This leaves a mildly bullish tone to government bond markets, a standoff between EUR, USD and JPY in major FX markets, and consolidation in equities/credit.”