So although the old central rate may be far-fetched, the old floor is not.
It promises to keep the shekel's market value within a band seven percentage points above or below a central rate.
After all, the pound has spent the past ten months above its old central rate in the European exchange-rate mechanism of DM2.95.
The Hungarian forint, which moves in a band either side of a central rate against the euro, is trading within a whisker of its upper limit, even after a cut of three-quarters of a point on February 21st.
The central bank on Friday cut the central parity rate by 0.1 percent to 6.2152 per dollar.
The yuan is allowed to rise or fall by 0.5% from the central parity rate each day.
Even if pressure continues and the euro slips a bit farther, there seems to be a strong level of support near 1.4000, particularly as long as speculation surrounding a European Central Bank rate hike remains strong.
The chances are rising for a European Central Bank rate cut from the 1% overnight rate currently, and those chances increase if the Greek election result suggests that the country is giving up on its agreement with Germany to lower its debt and cut spending.
On Thursday, the European Central Bank cut its official deposit rate for overnight lending to the central bank by 50 basis points, to 1.0%, below its 2.5% benchmark rate, in an attempt to wean banks off the safety of its vaults and thus stimulate interbank lending.
Government and central bank interest rate and stimulus policies are still being formulated, adjusted and implemented.
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An implosion of the U.S. housing market, ironically overheated by a previous round of central-bank rate cuts, has slowed the world economy, sparking recessions in the United States and Europe.
Since it moved to unlimited fixed-rate funding, the central bank has been content to allow the overnight rate to drift much lower than the policy rate.
In terms of capital markets, interest rate liberalization and a more market-oriented exchange rate are central.
The central bank's rate-setting Federal Open Market Committee also kept its key interest rate at zero to 0.25%.
And in any case the ultra-low central-bank base rate will eventually have to rise, pushing up borrowing costs.
In addition to a two-day summit of European leaders, investors also are focused on the European Central Bank's rate-setting meeting Thursday.
While no increase in interest rates is expected, there is little doubt among investors that the future direction for the central bank s target rate will be up.
The central banks cut the rate on ECB dollar loans by half a percentage point, triggering a rush by banks to secure dollar funding at cheap rates.
In effect, the bank now has a target range for short-term rates: the upper bound is the 1% refi rate and the lower bound is the rate the central bank pays on banks' deposits with it, currently 0.25%.
Instead of aiming for an exchange rate, their central banks have an inflation target.
Specifically, Central Dauphin entered into interest rate swaps with the cash it had on hand.
West and Central Africa's exchange rate no longer seems so overvalued as it did.
Rate decisions by central banks will get to dominate most of the remaining market rhetoric this week.
At a zero short-term interest rate, the central bank would have to work on adjusting longer-term rates.
While the benchmark borrowing cost may have risen, the central bank left the bank rate unchanged at 6%.
But the central bank indicated that further rate cuts were possible, citing concerns about further falls in inflation.
In a desperate measure to strengthen the rouble, the central bank tripled its refinancing rate to 150% on May 27th.
The discount rate is the interest rate that the central bank charges commercial banks that need to borrow additional reserves.
In March, the central bank cut its lending rate by a quarter percentage point, which was its second rate reduction in 2013.
He says he would slash wasteful public spending, leaving room for interest rates to fall (the Central Bank's benchmark rate is 10.25%).
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