Hungarian and Polish central bankers will decide on monetary policy next week, and while no change is expected in Warsaw, Budapest’s policy makers are poised to cut interest rates.
Analysts and financial markets both expect monetary easing in Hungary Monday. All 16 private bank economists polled by Dow Jones Newswires see the Hungarian Monetary Policy Council lowering the policy rate from 9.5%, the highest in the European Union. And 13 of them expect a 50 basis-point rate cut, while the others foreseeing that or a 25 basis-point cut.
Read the rest of this entry »
Italian government bonds are not overvalued versus German peers, despite the substantial tightening in the BTP-bund spread during the past few months, says Dresdner Kleinwort strategist Marcel Bross. “In fact, our model renders BTPs on the cheap side versus bunds,” he says, adding that the major drivers of the BTP-bund spread argues for continued tightening. Therefore, Dresdner Kleinwort reiterates its recommendation to stay overweight BTPs at the expense of bunds, Bross says.
The housing market has been dominated by buyers for years, but the latest
existing home sales data suggests that may finally be changing. And Wall Street is starting to buy in.
A simple definition of a “buyer’s market” is that the buyer holds the cards.
They determine what they are willing to pay, then wait for the seller to call.
Read the rest of this entry »