International Financial Information
[Russia closes borders with Norway and Poland from March 15th] On March 14th, Russian Prime Minister Misukostin decided that starting at 00:00 local time on March 15, Russia will ban foreign citizens from passing through Russia, Norway and Poland. Border entry. Except for citizens of Belarus, official delegations and persons holding residence permits in the Russian Federation, all foreign citizens holding work, private visit, education and tourist visas will be barred from entering. (CCTV News)
[Trump signs supporters on stock index chart] US President Donald Trump presented a chart to his supporters earlier today. The chart shows that the Dow Jones Industrial Average rose sharply as he declared a state of emergency in response to a health event. Trump also signed his name on the chart.
[U.S. President Trump criticizes the Fed again] According to the Wall Street Journal, in light of the outbreak of the health incident, U.S. President Trump stepped up criticism of the Fed on Saturday and said he has the power to fire or demote Fed Chairman Powell, despite the Federal Reserve ’s Rate cuts are expected next week; Trump said, "So far, Powell has made a lot of bad decisions; the Fed should follow the example of central banks in other countries to reduce interest rates." He also said he has the right to remove Powell, but not so. Do; a Fed spokesman declined to comment on Saturday.
[Cancellation of 2020 World Sports Congress] Affected by health risks, the 2020 World Sports Congress originally scheduled to be held in Beijing and then relocated to Lausanne, Switzerland was announced; according to the original plan, the 2020 World Sports Congress will be held from April 19 to Held in Beijing on the 24th; but after the epidemic, the World Sports Congress announced on 13th that it will be held in Lausanne with the same date; on 13th March, Lausanne, Switzerland ’s Canton of Vaud, announced that before April 30th Events for more than 50 people are prohibited. (Xinhua News Agency)
[The United States adds Britain and Ireland to the list of travel bans] On March 14, local time, the White House announced that the United Kingdom and Ireland will be added to the list of European travel ban countries, which will take effect at 00:00 EST on March 16. The number affected by the U.S. travel ban has increased from 26 to 28; the White House emphasized that U.S. citizens are not in the ban but need to be isolated for 14 days after returning home. (CCTV News)
[The White House will propose a third rescue bill to help the aviation and cruise industry] Trump administration officials made the clearest statement so far on Saturday (March 14), and they are expected to propose a third Public Health Incidents Act, part of which aims to help industries such as aviation and cruise ships affected by the outbreak.
Summary of Institutional Perspectives
National Bank of Canada: Bank of Canada cuts interest rate by more than 100 basis points in 10 days, sets new record for the bank
Although the Bank of Canada's interest rate cut was largely expected, many people believe that the bank will proceed after the Fed ’s interest rate decision next Wednesday, so the timing of this stimulus is somewhat unexpected. This interest rate adjustment signals that the Bank of Canada provided 100 basis points of easing in less than 10 days, refreshing the bank's record, although the move was clearly justified during the new crown pneumonia epidemic. Considering the rapid evolution of the epidemic, it is not expected that this will be the last time that the voices of policy makers are heard in the next few days. The federal government is expected to introduce a large-scale fiscal stimulus package next week. The actions taken by the Bank of Canada and central banks around the world have shown a growing sense of urgency. The disruption and shutdown caused by new crown pneumonia will lead to an unprecedented contraction in the economy in the second quarter. These positive measures are expected to create conditions for economic growth to resume later this year.
UOB: Euro / USD will fluctuate sharply in the range of 1.0980-1.1380 in the near future
UOB's research department on Friday (March 13) discussed the technical outlook of the euro against the US dollar, saying that it will adopt a neutral trend in the near future. On Wednesday (March 11, point 1.300), we proposed that the upward movement has dissipated, and added that "a break above 1.1230 means that the rally that began in February has ended." The euro against the US dollar fell below 1.1230 yesterday (March 12) to 1.1054, and then rebounded, resulting in a large fluctuation of 279 points in the day, the highest since June 2018. Overall, Monday's high of 1.1496 is seen as a short-term top. From then on, the euro may shake violently in the range of 1.0980 / 1.1380.