FOMC Pauses Rate Cuts Amid Uncertainty About Economic, Policy Outlook
– Powell: FOMC ‘In No Hurry’ To Adjust Rates; Policy, Economy ‘In Good Place’ – Powell: Need to See ‘Further Progress’ On Inflation; Watching Labor Market By Steven K. Beckner (MaceNews) – After cutting interest rates at three consecutive meetings, the Federal Reserve’s policymaking Federal Open Market Committee kept them unchanged Wednesday and gave no […]
Bank of Canada Slows Rate Cut Pace to 25 Basis Points, Instead of Pausing amid Easing Inflation, in Pre-Emptive Strike Against Fallout from Trump Tariffs
–BOC Decides to End Quantitative Tightening; To Restart Asset Purchases in Early March–Governor Macklem: We Are Long Way from Needing Quantitative Easing–Macklem: USD/CAD Affected More by US Trade Policy Uncertainties Than by BOC’s Cumulative Rate Cuts By Max Sato (MaceNews) – The Bank of Canada trimmed its policy interest rate – the target for overnight […]
Preview: Bank of Canada Set to Slow Its Rate Cut Pace to 25 Basis Points Wednesday While Seeking Shelter from Imminent US Import Tariff Storm
By Max Sato (MaceNews) – The Bank of Canada is widely expected to trim its policy interest rate – the target for overnight lending rates – by a “more gradual” pace of 25 basis points to 3.0% on Wednesday in a pre-emptive move to help shield the economy from the threat of stiff tariffs on […]
Analysis: Bank of Japan Taking Another Step Forward but Still Halfway Toward Brave New World of Paying Interest on Loans
By Max Sato (MaceNews) – Bank of Japan policymakers have taken another step forward with their third rate hike this cycle, but they are still only hallway through their mission of hauling the economy from the lukewarm super-low borrowing costs toward the brave new world of paying normal levels of interest on loans. At its […]
Fed Officials Continue Cautious Monetary Policy Mood in Wake of December Data
By Steven K. Beckner (MaceNews) – Federal Reserve officials reaffirmed their sense of caution about the future course of monetary policy in wake of a surprisingly strong December employment report, which was widely interpreted as greatly diminishing hopes for interest rate cuts this year. Officials were already speaking hesitantly about resuming monetary easing, variously calling […]
UPDATE: Fed Officials Take Cautious Approach to Further Rate Cuts As Late Jan FOMC Nears
– Harker Still Sees Rates Heading Lower; But Now ‘Appropriate To Take A Pause’ – Collins Calls for ‘Patient Approach to Policy’; Cuts Could Go Faster or Slower – Schmid: Funds Rate May Already Be ‘Neutral;’ Favors Further Balance Sheet Shrinkage – Bowman Urges ‘Caution;’ Monetary Policy Not As Restrictive As Some Think By Steven […]
Fed Gov. Cook, Other Fed Officials Tread Carefully on Monetary Policy Outlook as 2025 Begins
By Steven K. Beckner (MaceNews) – Federal Reserve Governor Lisa Cook joined other Fed officials Monday in opening the new year with ambiguous comments about the outlook for monetary policy. Cook, like several colleagues, gave no indication she is eager to resume interest rate reductions in 2025, preferring to wait to see how inflation and […]
BOJ Governor Ueda: Japan Economy on Track Toward Higher Interest Rates but Central Bank Needs More Confidence in Sustained Wage Hikes
–Ueda: Bank May Get Enough Data in March or April to Decide on Next Rate Hike By Max Sato (MaceNews) – Bank of Japan Governor Kazuo Ueda said Friday that the bank’s policymakers may receive clearer data and information in March or April that would allow them to decide confidently whether to go ahead with […]
FOMC Cuts Funds Rate 25 BP; Strongly Hints at Rate-Cutting Pause
– Powell: After 100 BP of Cuts, Policy Rate Closer to Neutrality – Powell: Now Appropriate to Ease More Cautiously, Slowly By Steven K. Beckner (MaceNews) – Three months after it began a decisive easing of monetary policy, the Fed took a tentative step on Wednesday toward slowing or perhaps interrupting that process. Much as […]
Preview: Close to 50/50 Chance in Bank of Japan Conducting Its 3rd Rate Hike of Current Cycle This Week as Policymakers Measure Risks
By Max Sato (MaceNews) – The chance of the Bank of Japan board hiking its policy interest rate by another 25 basis points to 0.5% this week is close to 50/50 as the bank’s policymakers ponder various risks amid growing domestic and global uncertainties. One thing is certain. The bank is staying the course of […]