Hey Traders So, I have been asked by many of my clients to explain the relationship between interest-rates and inflation and how to translate that information into their analysis. For this reason I put this little mini lesson together to explain: - The core role of the central bank - Reason and objectives for interest-rates and inflation - How you can use...
There is a tug of war situation among the central banks to hike interest rates. What is the bad and the good that will come out from this? i. Last week of October, European Central Bank officials announced another massive 75 basis point hike, increasing interest rates at the fastest pace in the history of the euro currency. ii. This week, the Federal Reserve is...
(1) The relationship between "macro flows" and "restraint" The former encourages plans from our opponent by enticing them into positions. What does it mean: suffering from the sad case of the last buyer? The concept of static and dynamic weaknesses. When it becomes appropriate to undo our opponents structure? Restraint can be imagined without the...
BoE Vote split comes in at 6 - 3 BoE keeps rates and asset purchases unchanged at 0.50% and 435bln respectively. - Vote was 6-3 in favour of unchanged Bank Rate, unanimous for QE at 435B/APF at 10B - Haldane, McCafferty and Saunders dissented, voting instead for a June hike - Majority on MPC still reassured Q1 softness was largely temporary, but preferred to...