Yesterday in World Currency markets
The Swedish Central Bank, the Rijsbank became the first Central Bank to raise rates…… to zero %.. after 5 years at minus. The Swedish Crown (SKR) dutifully rose marginally versus the USD. Norges Bank the Norwegian Central Bank kept its powder dry and kept rates on hold-so no change in the NKR. On the other side of the world the AUD rose approx. 0.3% on the back of a surprise fall in unemployment. The Japanese Yen was sidelined and unchanged. The Brazilian Real benefitted from a more muscular 2.2% growth forecast. The EUR was up versus the USD on two things: the U.S. impeachment proceedings plus ..wait for it: German business morale improving!
Bank of England; Monetary Policy Committee
Deft footwork from the policymakers with interest rates kept unchanged and talk of too early to say how Brexit uncertainty might go with the new PM’s Brexit moves as yet unclarified. 2 out of 9 members voted for a cut with the other 7 saying let’s wait and see. The statement said that if the current growth rate ( currently a meagre 0.1%) continues, rates may need to be cut, but if growth picks up, rates will need to be raised. Ho hum. Less there for market watchers than in a joke in Scrooge’s cracker.
Have you noticed how cats always make a bee line for people who don’t like…cats?!
Well this week it’s been the turn of a fox in Dagenham (which for overseas readers is a suburb of Greater London on the south bank of the Thames.) The fox, in search of a warm place to rest up, selected a cupboard in the house of a ….vegan! For those of you who don’t know, foxes are omnivores and urban foxes in particular are not known for their vegan diet, preferring small mammals, birds, eggs, carrion and other choice meaty morsels. There are estimated to be 225,000 foxes in the UK of which 33,000 live in cities. For ever Basil Brush fan SGM-FX’s Euan, who currently resides in Lewisham in South East London, is prepared to offer a warm welcome to some foxy friends over Christmas-he might have meant something different- but that’s what he said!
Meanwhile our man with the Christmas cracker has just sent this:
Q: What do you call a man wearing trousers made of wrapping paper? Russell….!
Discussion and Analysis by Humphrey Percy, Chairman and Founder
Click Here to Subscribe to the SGM-FX Newsletter
Related Insights
Daily Brief – UK Borrowing
Humphrey Percy
Wed 21 May 2025
UK Borrowing Another one for the pub quiz in case it comes up: UK government borrowing stands at £2.8 trillion or £2800 billion. While you digest that number over the chicken in the basket if indeed you are already in the pub, it will have increased by the time you get to the end of this […]
Daily Brief – USD 2 Trillion Trade Deals
Humphrey Percy
Fri 23 May 2025
USD 2 Trillion Trade Deals That is the total trade deal bag that POTUS Trump is credited admittedly by himself with snagging in his whirlwind Gulf trip this week. Many are puzzled and a few have attempted to tot up the value of the Saudi, UAE and Qatari deals, but no-one has succeeded in getting […]
Daily Brief – POTUS in Kingdom of Saudi Arabia
Humphrey Percy
Wed 14 May 2025
POTUS in Kingdom of Saudi Arabia As one of POTUS’ travelling companions on this week’s visit, Larry Fink of Blackrock represents everything that a US President might want to burnish his credentials in the desert kingdom: head of the largest asset manager on the planet, hugely influential and totally credible. Just a shame that he […]
