DATA FLASH: RETAIL SALES SURGE, UP 1.9% IN OCTOBER
–Retail Sales Ex-Vehicles Rise 1.5% On Widespread Gains–Industrial Production Falls 0.6% On Utilities/Manufacturing, Mining Up–University of Michigan Sentiment Rose to 81.2 in Early-October–Business Inventories Up 0.3% in August, Business Sales Up 0.6% By Kevin Kastner WASHINGTON (MaceNews) – Retail sales rose for the fifth straight month in September, with gains in almost every sales category […]
STATUS CHECK – WHAT’S THE OPPOSITE OF A PRESIDENTIAL DEBATE?
WASHINGTON (MaceNews) – The following is Wednesday’s status check of developments in the U.S. that can influence economic, health and political outcomes. · Twenty days until Election Day, a countdown to – what? Is it time to wonder what kind of lame-duck president Donald Trump would be? Of course he might win. But if not, […]
VICE CHAIR CLARIDA KEEPS FED POINTED TOWARD LONG-TERM MONETARY EASE
By Steven K. Beckner (MaceNews) – Top Federal Reserve policy-makers continue to strongly signal their long-range intention to maintain an ultra-easy monetary policy, even as they acknowledge that the economy is recovering faster than they expected from the Covid shutdown induced recession. The Fed’s commitment to a highly accommodative policy is not completely open-ended, but […]
BOE’S BAILEY DISCUSSES NEGATIVE RATE CRITERIA; STRESSES ‘WE’RE NOT THERE’ YET
By Laurie Laird LONDON (MaceNews) – The UK’s top rate setter suggested that negative interest rates may be more effective once an economy begins to recover, but repeated that the Bank of England is not considering an imminent rate cut. “We’re not there at the moment,” said BoE Governor Andrew Bailey Tuesday, addressing the House […]
BOE’S BAILEY NEGATIVE RATES ‘NOT NEAR’ DESPITE LETTER TO BANKS ON IMPLEMENTATION
By Laurie Laird LONDON (MaceNews) – The UK’s top rate setter Monday reiterated his mixed messages over the implementation of negative rates, warning that the Bank of England has no imminent plans to push borrowing rates below zero. “We are not near and haven’t addressed whether we should use them,” said Bank of England Governor […]
FED’S ROSENGREN WARNS ON FINANCIAL STABILITY RISK WITH RATES LOWER FOR LONGER
NEW YORK (MaceNews) – The U.S. needs more steps to limit financial stability risk in a continuing low interest rate environment, Boston Fed President Eric Rosengren said Thursday. Rosengren, in remarks for delivery to Marquette University, warned that excessive leverage has magnified the current downturn and poses a threat of additional job losses. “The increased […]
ECB’S MERSCH: SUSTAINED EU FISCAL STIMULUS REQUIRES TREATY CHANGE
By Laurie Laird LONDON (MaceNews) – A top European central banker praised the eurozone’s fiscal response to the Covid-induced economic downturn but warned that further stimulus would most likely require a legal change to the roles of European institutions. Far from establishing a precedent for further fiscal integration, the European Commission’s €750 million fiscal package […]
BANK OF CANADA’S MACKLEM: RESUMPTION OF PAYMENTS ‘GOING WELL’ AS DEFERRALS EXPIRE
NEW YORK (MaceNews) – So far, so good is the message from Bank of Canada Governor Tiff Macklem Thursday as Canadian borrowers resume loan payments deferred during the pandemic. Still, the BOC will watch closely to see how well households and businesses cope with expiring loan deferrals and will also monitor whether excessive debt is […]
ECB MINUTES HINT AT GOVERNING COUNCIL CONCERN OVER EURO STRENGTH
—President Lagarde Downplayed Forex Moves Following September Rate-setting Meeting By Laurie Laird LONDON (MaceNews) – Members of the European Central Bank’s rate-setting body spoke extensively about euro appreciation at the September governing council gathering, belying the indifference of ECB top guard immediately following the event. Minutes of that meeting released Thursday contain numerous references to […]
ECB’S SCHNABEL RAISES THE ALARM ON EU BANKING SECTOR
—But BOE’s Bailey Hails Health of UK banks at Banking Stability Conference By Laurie Laird LONDON (MaceNews) – A top European Central Bank official lamented the health of the European banking sector, calling for greater integration and risk sharing across the eurozone. The return on equity for eurozone banks fell to 0.01% at the end […]