Accommodative, not as loose as they used to
be. Cap for insight and action. Take a look at this, data compiled by net davis
research.Central banks raising rates. About a third of the roughly 33 central
banks tracked are starting to raise rates. For all the talk about janet yellen,
the taper and when will she raise rates or what is happening in europe, the ecb
where they are not raising rates, several countries have started to do that.
Let me show you the six that have raised rates. columbia, new zealand, russia,
-- russia and india. There are the dates. Most recently, Columbia on june 20.
look what has happened to the currencies.If you raise rates come of that is
effective tighter policy.Cutting back money supply. Lower supply means price
goes up. Exit question, who is next?The person who put all this together, the
economist at net davis research says -- you know what, you take a look at the british
pound and you can see we have plenty of room or outside. Watch the british
pound.That may be your trade, buying the pound ahead of the potential rate hike
later this year.
This text has been automatically generated.
It may not be 100% accurate.
