Indonesia raises key rate more than expected as rupiah weakens

JAKARTA – Indonesia’s central bank delivered a bigger-than-expected interest rate hike to stem inflation and stabilise the rupiah, marking an aggressive turn for policy makers who were monetary policy outliers until last month. Bank Indonesia raised the seven-day reverse repurchase rate by 50 basis points, the biggest increment since 2018, to 4.25 per cent on […]

Wall Street tells clients Singapore dollar is top trade in Asia

SINGAPORE – Singapore’s dollar is emerging as the top bet for Wall Street’s biggest banks as wagers that the central bank will extend policy tightening bolsters demand for South-east Asia’s top-performing currency. Goldman Sachs Group favours the Singdollar the most among Asian currencies, along with Thailand’s baht. Citigroup recommends buying the currency on dips, while […]

Emerging market central banks show strong appetite for gold in Q2: Report

SINGAPORE – Central bank demand for gold, particularly from emerging markets and developing economies, more than doubled in the second quarter of the year compared with the previous quarter, driven by growing fears of an impending global recession and changes in the international monetary system. According to data from a recently released World Gold Council […]

Global slowdown fears darken prospects for Asia factories

TOKYO (REUTERS) – Worries over a global slowdown are casting a shadow over Asia’s recovery prospects with factory activity growth slowing in Japan and Australia, keeping pressure on policymakers to support their economies while tightening monetary policy to combat inflation. Japan’s manufacturing activity grew at the slowest pace in 10 months in July, the purchasing […]

Oil sinks as China’s Covid-19 resurgence overshadows tight market

LONDON (BLOOMBERG) – Oil declined as the prospect of more demand-sapping virus restrictions in China overshadowed signs of a tightening market. West Texas Intermediate crude, the US benchmark, dropped to near US$103 a barrel after posting a loss last week in volatile trading. Coronavirus cases continued to climb in Shanghai and other regions, with new sub-variants providing a challenge to […]