Our Scans · (FS.1.02) Central Banking · Weekly Summary

• [New] In Europe, focus remains on inflation expectations and any follow-up commentary from European Central Bank officials after last week's rate hike, as markets reassess whether the ECB could stay hawkish amid lingering energy-driven inflation pressures. IC Your Trading Edge | Official Blog | Blog
• [New] Higher oil prices, fuel costs and energy bills are expected to affect both household spending and business margins, while the Bank of England is now widely expected to keep interest rates unchanged next week. CPA | The Credit Protection Association
• [New] UK businesses enter Friday facing a sharper mix of risks: weaker growth, higher energy costs, interest-rate uncertainty and continuing insolvency pressure. CPA | The Credit Protection Association
• [New] The former Fed governor's approach to monetary policy will be tested immediately: the Iran war is pushing up energy prices, threatening to stoke more persistent and widespread inflation. Investopedia
• [New] The Fed is widely expected to keep its key interest rate unchanged as it remains in wait-and-see mode. Investopedia
• [New] The ECB is widely expected to hike interest rates by 25 bp at Thursday's policy meeting, which will lift the deposit facility rate to 2.25%. investing.com
• [New] Gold stocks have been weighed down by a sharp rise in energy prices in 2026 and increased fears of rising inflation, which could result in the Federal Reserve hiking interest rates - a negative for non-yield bearing assets like gold. financialpost
• [New] A well-flagged rate hike from the Bank of Japan to continue its exit from low borrowing costs and a close call in Norway are likely exceptions, but the US Federal Reserve and its peers from the UK to Sweden are widely expected to make no changes. financialpost
• [New] Officials responsible for monetary policy in seven of the world's most-traded currency jurisdictions are mostly anticipated to keep settings steady again. financialpost
• [New] Rabo writes that, with expectations for a narrowing interest rate differential between Brazil and advanced economies through 2026 and a potential recovery in the US dollar globally against a fragile fiscal backdrop in an election year, it expects USD / BRL to appreciate towards 5.35 by year-end. investing.com
• [New] Part of the decline on Friday followed fears of a hike in US interest rates, due to a lower-than-expected US unemployment rate in April as well as persistently high inflation linked to the war in the Middle East. BBC News
• [New] Further headwinds come from ongoing trade tensions between the US and the European Union, and likely increases in interest rates, with the European Central Bank widely expected to raise borrowing costs later this week. financialpost
• [New] A hot May jobs report, doubling expectations, fuelled fears of a hawkish US Federal Reserve policy and potential interest rate hikes, killing cut hopes. ST
• [New] Economists and financial markets expect the Reserve Bank of Australia to keep the cash rate on hold at its monetary policy board meeting in mid-June, following the release of the latest official inflation numbers. Freedom Property Investors
• [New] Recent steps by the Federal Reserve and other agencies will undermine the safety and soundness of banks and increase financial stability risks. Board of Governors of the Federal Reserve System
• [New] Global markets opened the week in a risk-off mood after three shocks hit together: a sharp AI and technology sell-off, stronger-than-expected US payrolls that raised expectations of Federal Reserve rate hikes, and renewed Iran-Israel tensions that pushed oil above $97 a barrel. CPA | The Credit Protection Association
• [New] Stronger-than-expected employment data pushed bond yields higher, reigniting fears that the Federal Reserve might not be done tightening. Crypto Briefing
• [New] A Federal Reserve-issued digital currency would represent a competitive threat to stablecoins like USDT and USDC. Crypto Briefing
• [New] Unless ECB President Christine Lagarde and her colleagues challenge current investor bets, monetary policy will stay on track for further tightening, with at least one more hike penciled in for the remainder of the year. financialpost
• [New] Investors are now focused on upcoming Canadian jobs data and inflation figures, which will shape expectations for the Bank of Canada's next interest-rate decision. IC Your Trading Edge | Official Blog | Blog
• [New] Core inflation exceeded expectations at 2.5%, prompting economists to state that an interest rate hike is becoming unavoidable with potentially one or two more increases expected later in 2026. IC Your Trading Edge | Official Blog | Blog
• [New] Due to resurging payroll job growth in the past three months, plus higher Treasury bond yields in the wake of the May payroll report, any Fed key interest rate cut will likely be postponed until transitory inflation cools later in 2026. investing.com
• [New] Rising Treasury yields signal anticipated US Federal Reserve rate hikes. ST

Last updated: 18 June 2026