HUNGARY: Constitutional Court Chief Tamas Sulyok Nominated for President
Feb-22 12:50
- Hungary’s ruling party is nominating Tamas Sulyok, the head of the Constitutional Court, to be the nation’s president, Fidesz party caucus leader Mate Kocsis said in a televised briefing.
- Katalin Novak resigned from the largely-ceremonious role earlier this month over a controversial decision to issue a presidential pardon in a child abuse case. The decision sparked protests against the government.
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
CANADA: Odds Of First Cut In April Hold Trimming To ~50%
Jan-23 12:48
- After some initial two-way moves around the cash open, GoCs are happy for Tsys set the tone trading 1.5-3bp cheaper across the curve.
- That could remain the case for the session with a blank CAD docket, although any larger moves could be faded somewhat with tomorrow’s BoC decision in mind: https://roar-assets-auto.rbl.ms/files/59603/BOCPreviewJan2024.pdf
- BoC-dated OIS holds yesterday’s push higher to imply now just ~50% probability of a first cut in April, with the implied rate of 4.91% for the April meeting the highest since mid-November (CORRA-O/N spread still around 4-5bps).
EURGBP: HSBC Issue Long EUR/GBP Recommendation
Jan-23 12:45
HSBC suggest that EUR/GBP “has diverged to the low side relative to rate differentials. Part of this divergence has been the pull of stronger risk appetite, which tends to exert a more powerful positive force on GBP than on EUR. Our multi-asset team is looking for a pull-back in risk sentiment in the near term, and the upcoming ECB and BoE meetings could provide further catalysts for EUR/GBP to retrace higher.”
- “This week's ECB meeting has little potential for fireworks Various policy makers have pushed back on market pricing by noting that more dovish expectations can complicate the path to lower inflation, suggesting little desire for an explicitly dovish signal at this stage.”
- “The BoE February meeting should be more interesting. The updated inflation forecasts should see a downward revision, with less of an upside skew. The big drop in December retail sales raises the risk of the UK having finished 2023 in recession, while downside surprises on wages could also remove the hawkish bias of some MPC members. We are expecting a much more dovish vote split. The three votes to hike in December will likely shift to holds, while there could be a vote for a cut.”
- As a result they initiated a long EUR/GBP trade idea at GBP0.8550 with a target of GBP0.8710 and a stop set at GBP0.8480.
CHINA STOCKS: CSRC Deploys Supportive Rhetoric & Outlines Focus
Jan-23 12:43
MNI (London) - The broader newswires have picked up on comments from the CSRC, initially covered by the Chinese state media outlets.
- The CSRC has stressed that it will make greater efforts to cultivate a long-term and stable investment force, alongside enriching policy tools to deal with market fluctuations.
- The body also pointed to need to carry out a good job re: timely risk hedging, along with the need to prevent the introduction of policy measures that are not conducive to promoting the stabilisation of market expectations.
- There will also be an increased focus on the resolution of risks surrounding the real estate sector and local government debt.
- Finally, the CSRC pointed to the need to strengthen the monitoring of trading-related behaviour of key investors, with a focus on cracking down on abnormal trading activity and stock price manipulation amongst other transgressions.
- Equity-supportive rhetoric remains evident on the part of the regulatory body and the latest round comes in the wake of the well-documented BBG source reports re: potential state-backed equity-supportive measures and a greater focus on the need to promote market stability from the State Council.
