Yields on Japanese government bonds rose on Tuesday, tracking U.S. Treasuries as a strong labour market recovery in the United States spurred bets for a near-term tightening of monetary policy. The 10-year JGB yield rose 1 basis point to 0.020% with half an hour to the end of trading after similar-dated Treasury yields rose much as 1.3310% overnight for the first time since mid-July.
- Boston Federal Reserve Bank President Eric Rosengren said during an interview with the Associated Press on Monday that the U.S. central bank should announce in September that it will start reducing its $120 billion in monthly purchases of Treasury and mortgage bonds in the fall.
Boston Federal Reserve Bank President Eric Rosengren said during an interview https://apnews.com/article/business-health-coronavirus-pandemic-b7766deeda2afcbecf427ca7e2658adf with the Associated Press on Monday that the U.S. central bank should announce in September that it will start reducing its $120 billion in monthly purchases of Treasury and mortgage bonds in the fall.
U.S. Treasury yields rose on
Monday as record-high job openings on top of
stronger-than-expected employment gains in July added to the
narrative of an improving labor market.
WINNIPEG, Manitoba--The ICE Futures canola market was stronger on Thursday, hitting its highest levels of the past week. Drought concerns across Western Canada remained supportive, with the size of the crop likely well below earlier expectations. However, actual yields remain to be seen and market participants are showing uncertainty over where prices will need to go to ration enough demand.
* Bank of England holds main rate at 0.1%, sticks to QE plan. * BoE forecasts CPI to hit 4% in late 2021 and early 2022. * Saunders votes for early end to bond purchases. * BoE says 'modest tightening' needed over next 2-3 years. * BoE likely to stop QE reinvestment when rates hit 0.5% By David Milliken, Francesco Canepa and William Schomberg.
The Bank of England kept the size of its bond-buying programme unchanged and held its benchmark interest rate at a historic low of 0.1% on Thursday. Economists taking part in a Reuters poll had expected no policy changes by the BoE, despite a post-lockdown rise in inflation.
The Bank of England is expected to keep its huge support for Britain's economy running at full speed on Thursday, despite a strong recovery from its pandemic slump and a jump in inflation. However, the central bank might also start to lay out its plan for how it will eventually reverse its stimulus.
* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh. * Graphic: Trade-weighted sterling since Brexit vote http://tmsnrt.rs/2hwV9Hv. By Ritvik Carvalho.
The Bank of England could this week shed light on how - and when - it might throw its decade-long stimulus programme into reverse, even as it continues for now to buy bonds as part of its 895-billion-pound quantitative easing programme. The BoE has been working since February on how to start tightening policy.
News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.
PDF’s require Adobe® Reader® and will open in a new window.
Log In Required
