Market Update

Rate hike chances are gaining more appeal throughout financial markets for the BOE after the November meeting, given the actual inflation profile, in which there was a 95%+ chance of a 15-bps hike. The European Central Bank has made clear that it does not intend on raising rates anytime soon, but …

Isabel Schnabel said that house prices need more attention from financial stability and price stability viewpoint. Schnabel indicated that owner-occupied housing would have contributed between 0.4 and 0.5 pp to data released by the Harmonised Index of Consumer Prices (HICP).The member of ECB’s executive board also insisted that monetary policy …

The Bank of England will begin a consultation next year to assess the case for a central bank digital currency (CBDC).If it is concluded that there is feasibility for a digital pound, the earliest that one could be rolled out is the second half of the decade, the Bank of …

Andrew Bailey has insisted that the Bank of England will raise interest rates if expectations of higher inflation drive up wages.The BoE’s Governor stressed that policymakers would intervene to avoid the prospect of heightened price growth becoming “generalized” across the British economy.He was participating in a virtual question and answer …

With central banks having already said their piece, seasonal, valuation and positioning still looks favorable for the USD. On these measures, the CHF looks vulnerable to a reversal.CHF could be a major laggard in the coming weeks, yet the CHF is the most overloved currency on most positioning dashboard. It …

The U.S. Federal Reserve looks at a wide range of indicators trying to extract as much observations as possible on how close the economy is to reach full employment. Federal Reserve Chair Jerome Powell said Tuesday that the central bank will look beyond headline numbers to determine when it has …

The most prominent event during the European session was the jump of cryptocurrencies. Bitcoin prices jumped over the past few hours, reaching a new historical high at $68.5 thousand, while it is now rising around 4%. The market value of Bitcoin has jumped to levels of 1.3 trillion dollars, while …

The year-on-year rate of Producer Price Inflation came in at 8.6% in October, unchanged from the month prior and slightly below expectations for 8.7%, according to a report by the US Bureau of Labour Statistics. the Month-on-Monthrate of PPI rose to 0.6% in October, versus expectations for 0.5% and higher …

The largest digital currency, Bitcoin, managed to set a new record, surpassing the October peak beyond $68,000 Bitcoin prices jumped over the past few hours, reaching a new historical high at $68.5 thousand, while it is now rising around 4%. The market value of Bitcoin has jumped to levels of …

US Treasury yields fell on Tuesday morning, ahead of inflation data, as the benchmark 10-year Treasury yield fell by less than a basis point to 1.488%, and the yield on 30-year Treasuries shed less than a basis point, falling to 1.8836%, Returns move inversely with prices and one basis point …