MNI BRIEF: Fed's Musalem: Interest Rates Likely To Be 3.5%-4% Over Long Run

MNI BRIEF: US Sees $1.3T Budget Deficit Through Nine Months

FED’S DALY: POLICY ADJUSTMENTS LIKELY WARRANTED AT SOME POINT

MNI China Daily Summary: Thursday, July 11

MNI BOK WATCH: More Evidence Needed To Cut Rates, Says Rhee

MNI: PBOC Conducts CNY2 Bln Via OMO Thurs; Liquidity Unchanged

MNI: US JUN TREASURY BUDGET -66B

US Treasury Auction Calendar

US EIA:NAT GAS STORAGE +65 BCF TO 3,199 BCF JUL 05 WK

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

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

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Little Market Reaction From Schnabel QT Speech

ECB

Little discernable market impact from the Schnabel speech on ECB balance sheet policy released at 1700CET (text here), with Bunds just a few ticks higher and the EUR steady.

  • Schnabel had already made a hawkish "appearance" earlier in the session via a BBG sources piece that pushed rates a little higher earlier in the session.
  • The speech itself is a survey of global excess reserve regimes, and explores why the upcoming reduction in excess reserves amid QT "matters for the conduct of monetary policy" - but ultimately it's a long-term outlook and not necessarily one that will shift the market needle in the near-term.
  • The conclusion is that "in the steady state, the size of our balance sheet should only be as large as necessary to ensure sufficient liquidity provision and effectively steer short-term interest rates towards levels that are consistent with price stability over the medium term."
Fixed Income BulletsHomepageBulletMarketsEmerging Market NewsForeign Exchange Bullets

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.