What Investors Expect Central Banks to Do in 2011 and 2012
Central Bank Interest Rate Expectations can and do change based upon economic and market developments. The last time I provided updated CB expectations was in July (yes, I apologize for being tardy) but since then we have seen major changes in investors expect central banks to do this year and next.
Here are the cliff notes
FED -- Nada for 2011 and 2012
ECB -- 25bp rate cut by Dec?! (In July no rate hike or cut was expected for 2011 and 1H2012)
BOE -- Nada for 2011 and 2012 but slight shift to dovish bias
BOC -- Rate Cuts now expected in 2012, down from rate hike by April
RBA -- Major Rate Cuts Expected -- 100bp by year end?!
RBNZ -- No Major Changes, Rate Hike Expected March 2012
And here are the details: