How fast will we return to ‘normal’ interest rate levels over the next couple of years? What type of monetary policy will be pursued by the major central banks and when will interest rates start rising? We will closely monitor events in our two-weekly reports and offer you the most likely scenarios for interest rates in the US and Eurozone.
The interest rate markets still offer excellent opportunities to hedge your organisation against rising interest rates in the future. Please contact us if you are considering hedging your risks. Our consultants make the bank’s pricing transparent and assist you in concluding interest rate derivatives. This ensures you will not overpay interest.
We think inflation and wage growth will remain higher than markets are pricing in. As a result, central banks will keep interest rates high for longer, which will negatively impact the euro.
The median forecast for EURUSD saw an uptick last month, only the analyst predictions for 2027 remained unchanged. In Asia, dollar weakness continues as the USDJPY saw a significant decrease in expectation compared to last month. The EURJPY saw a more modest downward correction. The European median forecast continues to improve in favor of the Euro, with both the EURGBP and EURCHF increasing compared to January’s numbers.
Our Monthly FX Poll consists of more than just these four major currency pairs, so please find in our Monthly FX Poll an overview of the predictions of approximately 50 leading banks and brokers for the most common traded currency pairs (including the date for each party).
Recent US economic data are disappointing, but this does not lead to diminishing hopes for a soft landing scenario. Long-term interest rates may continue to fluctuate in a fairly wide range in the coming weeks to months, but we expect a change later this year....
A convenient overview (Excel sheet) of the FX rates, swap rates, Money Market deposits, Futures, Euribor and Libor fixings, Stock market indices, etc.