Highlights of Fed’s Brainard Q&A: Emphasizes Fed’s Anti-Inflation Efforts
WASHINGTON (MaceNews) – The following are highlights of Thursday’s testimony of Federal Reserve Gov. Lael Brainard as noted by Mace News’ Steven K. Beckner: Fed Governor Lael Brainard was quite assertive about fighting inflation in testimony before a Senate Banking Committee hearing on her confirmation to succeed Richard Clarida as Fed Vice Chairman. First, she […]
FED BEIGE BK SEES MODEST EXPANSION, HIGHER PRICES, SOME COOLING OF EXPECTATIONS, SOME SUPPLY CHAIN STABILIZATION
WASHINGTON (MaceNews) – The latest Beige Book survey of economic conditions coast-to-coast saw a “modest” pace of expansion as 2021 ended, with some cooling of the generally optimistic expectations for the new year and some scattered improvement in transportation bottlenecks, the Federal Reserve reported Wednesday. The survey, assembled by the Kansas City Fed through January […]
Fed’s Powell Reassures on Balance Sheet Runoff, Rate Hikes, Ultimate Control of Inflation – With Reservations
–Labor Supply Can Become an Issue Going Forward for Inflation–Whether There are Three Rate Hikes This Year Depends on Data By Denny Gulino WASHINGTON (MaceNews) – Without getting too specific, Federal Reserve Chair Jay Powell Tuesday pledged to quickly leave behind the era of emergency measures, fighting inflation while aware its current causes are largely […]
KC Fed’s George Prefers Shrinking Balance Sheet ‘Earlier Rather Than Later’
– ‘Time Has Come’ To Transition to More ‘Normal’ Monetary Stance – Urges FOMC Should ‘Take First Step’ to Tighten Monetary Policy – FOMC Could Raise Rates First, but Must Start to Shrink Balance Sheet By Steven K. Beckner (MaceNews) – Kansas City Federal Reserve Bank President Esther George asserted the need Tuesday for a […]
<strong>Powell Vows to Keep ‘Elevated’ Inflation From Getting ‘Entrenched;’ Doesn’t Say How</strong>
By Steven K. Beckner (MaceNews) – Federal Reserve Chair Jerome Powell pledges the Fed will act to prevent already “elevated” inflation from becoming further “entrenched” in congressional testimony prepared for delivery Tuesday morning. However, the Fed chief does not elaborate on how precisely he and his fellow policymakers will proceed to combat wage-price pressures in […]
Italy Pushes Digital Euro, Aims to Strengthen Single Currency in Post-Covid World- Sources
By Silvia Marchetti ROME (MaceNews) – Italy is pushing for a “speedy” creation of a digital euro in a bid to strengthen the single currency, and it has now become a top post-Covid priority for the financial system, according to ruling coalition sources. “The pandemic has accelerated the process: there’s been a significant boost in […]
FOMC Minutes Reflect Surprising Amount of Discussion Re More Aggressive Tightening – But No Conclusions
WASHINGTON (MaceNews) – The latest minutes of the Federal Open Market Committee released Wednesday afternoon surprised the markets with the amount of discussion about potentially more aggressive than expected tightening moves, despite the lack of any conclusions. Not only did “many participants” judge that the appropriate pace of balance sheet runoff would likely be faster […]
Fed’s Waller Urges March Funds Rate Liftoff, Followed by Balance Sheet Shrinking
By Steven K. Beckner (MaceNews) – Federal Reserve Governor Christopher Waller Friday said the Fed should start raising short-term interest rates “shortly” after it finishes buying bonds in March – perhaps immediately thereafter. What’s more, Waller advocated starting to shrink the Fed’s bloated balance sheet soon after it starts raising the federal funds rate, which […]
BOJ Keeps Easing Stance, Tweaks Covid Funding Scheme Toward Small Firms
By Max Sato (MaceNews) – The Bank of Japan said Friday it is ending parts of its anti-Covid special financing program aimed at supporting large firms, whose financial conditions have improved, while extending its feature of helping hard-hit small businesses, particularly those in the service sector. As expected, the BOJ decided to maintain its interest […]
ECB To Halt PEPP Programme End of Q1, Will Beef Up APP
— Bank dramatically lifts inflation forecast LONDON (MaceNews) — The European Central Bank confirmed its emergency Covid stimulus package will conclude at the end of March, announcing an expansion of its regular quantitative easing program to begin in the second quarter, after its latest policy meeting on Thursday, The Bank also presented a marked upgrade […]