FXStreet – The Brown Brothers Harriman market analysts take a look at the upcoming Central Bank meetings from the emerging countries.
The National Bank of Hungary meet on Tuesday. Experts expect no change of the key interest rates (of 0.90 percent). The Central Bank usually makes only quarterly adjustments to the unconventional monetary policy, so changes are likely to happen at the June meeting. The economy is undiminished, strong and despite the pressure on prices is growing.
Colombia’s Central Bank decides on Friday to discuss monetary policy. Many market analysts expect a rate cut of 25 basis points to 6.25 percent. Some experts even expect a reduction of 50 basis points. Consumer prices climbed in April on the year to 4.7 percent, the lowest level since July 2015, but still above the target of 2 percent to 4 percent. Due to the downside risks for the economy, the Central Bank is likely to lower but more diligently in the interest rate.
The Bank of Korea meets on Thursday and is expected to the benchmark interest rate stable at 1.25 percent. Consumer prices increased by report month of April in the year compared to 1.9 per cent, which is slightly below the 2 percent target. Due to the downside risks in terms of the economy, the Central Bank is likely to maintain however, the interest rates unchanged.
** FXStreet News Editorial, FXStreet**