Loose monetary policy exit undercurrent global

Yesterday, India announced increases in Bank reserve ratio; Israel, Australia advance has line rate hike ... There are indications that loose monetary policy exit strategies worldwide has undercurrent, and even some economies started tightening cycle.

Loose monetary policy exit terminals began in August. 24 August, Israel announced its benchmark interest rates by 25 basis points to 0.75% become since September last year, the overall financial crisis since the outbreak of the first interest rate of the economy. After October 6, Australia's Central Bank will raise interest rates by 25 basis points to 3.25%. But yesterday, India's Central Bank announced that since 7 November onwards, the commercial banks ' statutory liquidity ratio increases by 24% to 25%, this also means that India's Central Bank toward the tightening of monetary policy, the first step.

Perhaps the constant India exit is Norway. October 28, Norway's Central Bank will hold a Conference, yixi analysts predict it will declare the interest rate, interest rate 25 basis points. Market is also expected that New Zealand's Central Bank will be 29 October Yixi Conference Declaration to give up a relaxed position.

Analysts generally agreed that, at present, proceed to exit lax monetary policy of the country, mainly in the financial tsunami were injured to a lesser or faster pace of economic recovery, the former as Australia, the past year, the gross domestic product (GDP) ratio of only one quarter of the ring is negative, the base can be said not mired in recession; the latter such as India, the Government estimates that as of March 2010, India's economic growth will reach 6.5%-6.75%.

But as the economy recovers, an economy's exit often have a standard effect. Deutsche Bank has published a research report noted that the increasing interest from Australia's Central Bank, it marks the end of the world's major economies monetary policy tightening cycle officially started.

On States decided to withdraw from stimulus policies, analysts generally believe that there are two points: the economic confidence of a warming as well as inflation fears the balance between the interest rate will be decided.

However, the timetable for a global interest rate increases, ING Group Asia Chief Economist Tim · Kang's opinion depends on the relevant economies and the United States and China's economic integration. He said, and the Chinese trade and economic dependency of larger economies will for the first batch of increases in interest rates, in contrast, the United States economic and trade linkages with larger, the timetable will be deferred. Tim according to the forecast of the next rate hike of Asian economies is Korea.