Attention to EM central banks this week – BBH

Pablo Piovano FXStreet

Analysts at BBH gave their views on this week’s central banks’ meetings in the EM space.

Key Quotes

“Turkey’s central bank meets Wednesday and is expected to keep rates steady. Half the analysts polled by Bloomberg look for a hike in the Late Liquidity Window rate, but we think the firmer lira gives the bank leeway to remain on hold near-term. The bank releases its quarterly inflation report Friday, which should give further insight to the bank’s outlook for rates. Turkey also reports March trade Friday”.

“Central Bank of Russia meets Friday and is expected to cut rates 25 bp to 9.5%. A small handful of analysts look for steady rates, but we think lower than expected inflation of 4.3% y/y in March will allow the bank to cut 25 bp again”.

“Hungary’s central bank meets Tuesday and is expected to keep policy steady. It eased further via unconventional measures at its March meeting and so no further action is likely until the June meeting. If inflation continues to rise, we believe further easing is unlikely”.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.