DALY SEES 'NO URGENCY TO ADJUST THE POLICY RATE'

MNI BRIEF: Fed’s Collins Sees Rate Cuts Later Than Had Thought

MNI BRIEF: China March M2 Slows More Than Expected

MNI BRIEF: China Tightens Stock Market Supervision

MNI BRIEF: China Mar Exports Jump On Demand; Imports Improve

MNI: PBOC Sets Yuan Parity Lower At 7.0967 Fri; -4.87% Y/Y

MNI: BAKER HUGHES US RIG COUNT 617; OIL RIGS 506; GAS RIGS 109

March Home Sales Jumped At End Of Month

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

MNI BRIEF: Lawmakers Signal Tough Hearing For BOC's Macklem

© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Goldman Sachs See Policy Rate Lift-Off As Early As Next Week

PERU

Goldman Sachs note the large unfavourable June-July surprises increased very significantly the likelihood of very near-term policy rate normalisation lift-off (likely already at next week's Aug 12 MPC meeting).

  • This would be consistent with the MPC's last meeting's guidance towards preserving just an accommodative stance while the impact of the pandemic on inflation and its drivers persist (as opposed to the previous guidance of preserving a highly accommodative/expansionary stance).
  • GS argue that given that the policy rate is currently at an historical low 0.25% and the ex-ante real policy rate has continued to decline, a 25bp rate hike at the next meeting would in fact still maintain a highly accommodative/expansionary monetary stance.
EM BulletHomepageGoldman Sachs Market NewsBulletEmerging Market News
EM BulletHomepageGoldman Sachs Market NewsBulletEmerging Market News

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.