Prepare For This Week’s Central Bank Events!

RBA: Meeting minutes

Two weeks ago the Reserve Bank of Australia (RBA) boosted the Aussie when it dropped its easing bias and said a “period of stability” in interest rates is prudent. It also removed its comments about the Aussie being “uncomfortably high.”

Tomorrow at 12:30 am GMT we might read more details on the factors that made the central bank drop its dovish stance.

BOJ: Rate decision and meeting minutes

The Bank of Japan (BOJ) will conclude a two-day monetary policy meeting on Tuesday and print its meeting minutes on Friday.

With Japan’s trade deficit and GDP reports widely missing investor estimates, the pressure is on for the BOJ to reassure the markets of its commitment to end deflation. The BOJ isn’t expected to announce a fresh set of stimulus this week though. Maybe some jawboning instead?

BOE: Meeting minutes

Just last week Mark Carney introduced the “second phase” of the Bank of England’s (BOE) forward guidance. This involves the central bank looking at 18 different measures of spare capacity before it considers an interest rate hike.

Just how many of the Monetary Policy Committee (MPC) members are on board with the new plans? We’ll find out on Wednesday at 9:30 am GMT when the meeting minutes is printed. Be careful though, as the U.K.’s claimant count and employment numbers will also be released at the same time.

Fed: Meeting minutes + another Yellen testimony

Last but definitely not the least is the Fed’s minutes from its January 28-29 meeting due on Wednesday at 7:00 pm GMT. This was Ben Bernanke’s last meeting and where the Federal Open Market Committee (FOMC) decided to further cut its monthly asset purchases by $10 billion to $65 billion on the back of improvements in growth and the labor market.

Fed Chairwoman Janet Yellen is also tentatively scheduled to testify on the Semiannual Monetary Policy Banking report before the Senate Banking Committee on Thursday. In her first testimony last week Yellen inspired risk appetite when she threw her support behind the Fed’s taper schedule and optimistic outlook. Will she pull another bullish vibe this week?