Feb 11, 2013
Forex Flash: Reports of a joint statement on currency devaluation – TD Securities
TD Securities analysts see space for markets to talk politics and currencies. “Weekend press suggests US and European officials are considering issuing a joint statement on currency devaluations with the large focus on the yen in recent months (and Venezuela announcing another devaluation (32%) of the bolivar over the weekend)”, wrote analyst Richard Kelly, pointing also to this week's BoJ monetary policy decision, likely to be a non-event as markets wait for announcement of the new Governor later this month to take over in April. “ADB Head Kuroda, one potential candidate, was on the wires talking up a 2% inflation target and saying the BoJ should not be responsible for buying FX bonds, an option that had previously been on the table to weaken the yen”, Kelly added.