RBNZ easing bias despite improved domestic outlook, Fed has lost visibility

Posted on January 29th, 2016

The Fed has lost visibility and is in wait-and-see mode; a hike in March looks unlikely given the recent weaker growth trend in US data. This should contain the USD.  EUR’s strength is a bit surprising in light of still low inflation expectations and ECB policy guidance.  We are favoring short EUR vs commodity currencies and […]