Category: Central Banks

Analysis: Fed Ponders What Puts Out This Peculiar Inflation Fire

–Overheating or Super Squeezing? By Denny Gulino WASHINGTON (MaceNews) – Federal Reserve Chair Jay Powell Wednesday reassured his press conference viewers the central bank has the tools it needs to make sure aggressive inflation doesn’t last too long, reinforcing the narrative this inflation episode will meet its match. But what if the seeds of deflation […]

Bank of England Hikes Rates For the First Time in Three Years

— Eight MPC members vote for a 15 basis point increase to 0.25% LONDON (Mace News) – The Bank of England lifted its benchmark rate by 15 basis points to 0.25%, the first increase since August of 2018, according to minutes of Wednesday’s monetary policy committee meeting released on Thursday.  The move caught investors by surprise, […]

FOMC Doubles Taper to End Bond Buying in March as Inflation Forces Hawkish Tilt

—Three 2022 Rate Hikes Now Projected By FOMC Participants –Powell Hints At Quick Start To Funds Rate Liftoff After Taper Ends By Steven K. Beckner (MaceNews) – Federal Reserve policymakers moved dramatically, though not unexpectedly, Wednesday to adopt a more aggressive stance against inflation. The FOMC said it anticipates “similar reductions” in subsequent months, although […]

TEXT: FOMC Statement: Doubles Pace of Taper

WASHINGTON (MaceNews) – The Federal Open Market Committee Wednesday met expectations for a doubling of the pace of tapering and participants increased their calls for three rate hikes next year. The text of the policy statement follows: The Federal Reserve is committed to using its full range of tools to support the U.S. economy in […]

Bank of England Likely to Hold Fire at Dec MPC Meeting

–Omicron Variant Set to Delay Rate Hike Widely Expected Before Year End–Sharp Rise in November Inflation Could Provide Spirited Discussion LONDON (MaceNews) – The Bank of England is likely to keep rates on hold at Wednesday’s final rate-setting meeting of the year, with the U.K. returning to partial Covid restrictions as the Omicrom variant sweeps […]

ECB Set to Clarify Future of PEPP; Upgrade Inflation Forecasts

— But Details of Post-PEPP Stimulus Unlikely to Come From Dec Meeting LONDON (MaceNews) – The European Central Bank is likely to provide greater detail on the winding up of its emergency asset purchase programme following its policy meeting this week, but is unlikely to say much about further quantitative easing. “This is more of […]

BofA Global Research Fund Manager Survey:  Global Investors Increase Cash Holdings In December In Anticipation of World Central Bank Tightening in 2022

–On Average, Investors Expect Fed Taper to End by April 2022 By Vicki Schmelzer NEW YORK (MaceNews) – Global investors increased their cash holdings in December, wary of putting new monies to work ahead of expected world central bank tightening in 2022, according to the findings of BofA Global Research’s monthly fund manager survey, released […]

PREVIEW: BOJ Dec Tankan To Show Mixed Sentiment, FY21 Capex Plans

–Sentiment Among Manufacturers Seen Flat After Recent Gains–Non-Manufacturers Likely Report Better Sentiment on Eased Covid Rules–Major Firms Expected To Revise Down Their Capex Plans–Smaller Firms Tend To Revise Up their Capex Plans Later in Fiscal Year By Max Sato (MaceNews) – The Bank of Japan’s quarterly Tankan business survey is expected to show confidence among […]

Japan Nov Producer Price Rise Remains 4-Decade High on Energy, Commodities

By Max Sato (MaceNews) – Producer prices in Japan continued rising from year-earlier levels, staying at a four-decade high, as global supply chain disruptions, albeit easing slightly, as well as labor shortages are pushing up energy and commodities markets, data released Friday by the Bank of Japan showed. By contrast, consumer inflation in Japan remains […]