As Australia rolls out the new reporting system for CPI, the central bank is now less likely to cut interest rates at its next meeting in December; some market commentators are now expecting rates to rise in 2026.
Surveys show Hong Kong's SMEs facing rising costs, late payments, a tight credit stance from banks, and tariffs, despite an overall economic recovery in the SAR; bad weather has also been an issue this summer.
The US Fed has kept the interest rate unchanged while the US has agreed a 15% tariff rate with South Korea; the BOJ is anticipated to keep interest rates steady this week.
The pause in rate hikes was meant to bring relief. Instead, Asia’s treasurers are confronting a new kind of uncertainty – one where FX volatility, not funding cost, is driving strategic risk decisions.
Stock markets have fallen sharply and global recession risks have climbed as US import tariffs could rise to the highest level in a century on April 9; a weaker dollar could help address US trade deficits.
Apr 7, 2025
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Bank of America’s Venkat Eachur has shared with CT his views on inflation, supply chain shifts and digital disruption impacting treasurers in Asia, and how they can de-risk and capitalise on some strong domestic economies, amid an uncertain macro environment.
In an uncertain global economy, one prediction that market participants are in unanimous agreement on is the prospect of rate cuts in developed markets. What does this mean for corporate treasurers, asks John Chiodi, chief investment officer, liquidity Americas, at HSBC Asset Management.