U.K. government bonds rose, with 10-year yields approaching the lowest level since October, as tension in the eastern Donetsk region of Ukraine escalated, boosting demand for the safest fixed-income securities.
Nigeria’s currency is at risk of being devalued after President Goodluck Jonathan suspended the central bank governor last week, eroding confidence in monetary policy and sending the naira to a record low.
Kevin Daly, a portfolio manager at Aberdeen Asset Management Plc. in London, comments on China’s monetary policy outlook and Indonesia’s rating outlook. Daly, who helps manage $6.5 billion in emerging-market funds, spoke today at a briefing in Hong Kong. The People’s Bank of China yesterday lifted the one-year deposit and lending rates by a quarter of a percentage point each to 3.5 percent and 6.56 percent respectively.
The independence of Nigeria’s central bank may be the biggest casualty of President Goodluck Jonathan’s suspension of Governor Lamido Sanusi, who has worked to build policy credibility in Africa’s biggest oil producer.
On the heels of last week’s decision by the Federal Reserve to trim stimulus, central banks in Europe will probably maintain a steady course this week. The European Central Bank and the Bank of England will hold their key rates at record lows, according to economists surveyed by Bloomberg. The Reserve Bank of Australia will also keep its benchmark rate at a record low.