In today’s briefing:
- BoE: Bailey Leans Over December Fence
- Volatility Strategy: Analyzing the WTI Crude Price Consolidation
- CX Daily: How the U.S.’ Foreign Student Loss Could Be Hong Kong’s Gain
- Malaysia Defies Regional Easing
- Inflation Persistence Constrains Norges Bank
- Sri Lanka’s Rubber Swayed By Policy Turbulence, New Investment
BoE: Bailey Leans Over December Fence
- Another 5:4 vote split broke the BoE’s run of quarterly rate cuts. Governor Bailey is revealed to be the pivotal member, with the others worried about inflation persistence.
- Bailey endorsed market pricing and a forward-looking Taylor Rule path that includes a cut this quarter. His verbal comments imply a presumption in favour of cutting then.
- Upside news over the next two monthly release cycles would be needed to block that December cut. Resistance to cutting should only grow stronger as time passes.
Volatility Strategy: Analyzing the WTI Crude Price Consolidation
- The WTI Crude futures market currently trades with persistent and significant opposing market forces actively holding the price within a defined trading range.
- Long-Term supply/demand bearishness and a strong geopolitical risk premium create a price floor, which could be further supported by recent decisions by OPEC+
- This structural back-and-forth in price action creates a window to execute a strategic options trade monetizing implied volatility levels.
CX Daily: How the U.S.’ Foreign Student Loss Could Be Hong Kong’s Gain
- In Depth: How the U.S.’ Foreign Student Loss Could Be Hong Kong’s Gain
- Goldman CEO Expects Foreign Investors to Further Return to China in 2026
- Hong Kong Freezes Over $350 Million Linked to Cambodian Crime Syndicate
Malaysia Defies Regional Easing
- Bank Negara maintained the OPR at 2.75% in November 2025, aligned with forecasts, reflecting confidence in steady 5.2% Q3 growth and contained inflation.
- The decision contrasts with regional easing trends; the central bank views the current stance as appropriate amid resilient domestic demand and easing tariff uncertainties.
- Forward guidance indicates rates are likely to be stable through mid-2026, contingent on global trade developments, inflation trends, and US rate shifts.
This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.
Inflation Persistence Constrains Norges Bank
- The Norges Bank held rates at 4% as expected. Core inflation at 3% constrains further cuts despite emerging economic slack in the coming year.
- Governor Bache stressed the bank is “not in a hurry” to cut rates, projecting one reduction annually through 2028. Cuts depend on disinflation progressing as forecast.
- December’s new forecasts will be critical—faster disinflation or sharper labour market weakness could accelerate cuts, while persistent inflation could keep rates higher for longer.
This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.
Sri Lanka’s Rubber Swayed By Policy Turbulence, New Investment
- Rubber product export slip accentuates by August
- Industry warns SVAT removal may choke liquidity
- CEAT’s US$171 million move gives manufacturing impetus
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