Following the RBNZ cutting its Official Cash Rate (OCR) by 50 basis points (bps) in November 2024, economists and investors expect another bumper 50 bp rate reduction on Wednesday this week – with an outside chance of a more minor 25 bp reduction. A 50 bp (25 bp) adjustment would bring the OCR to 3.75%
READ MOREUSD to Remain Bid? US Federal Reserve (Fed) Chairman Jerome Powell’s modestly hawkish commentary last week – ‘the economy is not sending any signals that we need to be in a hurry to lower rates’ – coupled with other Fed officials echoing a similar vibe as well as sticky inflation, prompted a dovish rate repricing.
READ MOREThe Week That Was: RBNZ Slashed Rates by 50bps The week kicked off with the Reserve Bank of New Zealand (RBNZ) reducing its Official Cash Rate (OCR) by 50 basis points (bps) to 4.75%, a move that was widely expected and marked the central bank’s second consecutive rate cut this year. The RBNZ signalled that
READ MOREIt was an exciting week for the financial markets. Marching into the month of February witnessed three major central banks increase their benchmark rates, in line with expectations: the Federal Open Market Committee (FOMC) increased the Fed Funds rate by 25 basis points, and the Bank of England (BoE) and the European Central Bank (ECB)
READ MORECharts: Trading View US Dollar Index: According to the US Dollar Index, the US dollar wrapped up the week on the ropes, shedding more than 1.0%. Month over month, however, the buck trades 0.3% lower, poised to snap a four-month bullish phase, shaped by way of a monthly long-legged doji indecision candle. Overall, the technical
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