The European Central Bank is gearing up for a monetary policy announcement tomorrow. Based on the following table, which shows broad based weakness in the EZ economy since the May meeting, they need to ease. Whether it happens now or in July is still an open question, but the central bank can’t sit [...]

Posted in 2012 eurusd forecast, ECB, ecb ltro No Comments »

There’s been a lot of talk about Spanish 10 year bond yields rising to 7 percent. We’ve been at higher levels in 2011 but at that time the EUR/USD was trading much higher. 7 percent is a critical level because that is the rate that pushed Greece, Portugal and Ireland to beg for [...]

Posted in 2012 elections eurusd, 2012 elections us dollar, 2012 eurusd forecast, ECB, ecb rate cut, eur/usd 1 Comment »

I was on CNBC Asia last week talking about how proactive the ECB will be in light of Europe’s sovereign debt troubles. Sorry for the late post!

Posted in ECB, ecb ltro, euro, forex blog No Comments »

I was on CNBC Asia this morning talking about the potential for a deep market correction over the next few months and the degree of Renminbi undervaluation.

Renminbi Undervaluation

Posted in CNBC, ECB, ecb ltro 1 Comment »

Both the Bank of England and the European Central Bank will be making monetary policy announcements on Thursday. The market expects the ECB to remain on hold and BoE to increase their asset purchase program by GBP 50 billion. A quick look at the following tables explain why the BoE is expected to [...]

Posted in Bank of England, BoE rate cut, ECB, ecb rate cut, ecb rate hike 4 Comments »