BOE’S RAMSDEN: UK DOESN’T NEED NEGATIVE RATES RIGHT NOW
—Hints Sub-Zero Rates Could Be Most Effective During Recovery By Laurie Laird LONDON (MaceNews) – The UK economy does not require sub-zero interest rates at present, according to a top central banker Wednesday, who added the negative borrowing rates have been most effective in other jurisdictions once a recovery is underway. “The time” for negative […]
ECB HINTS AT REFINEMENT OF ‘PRICE STABILITY’ GOAL IN STRATEGY REVIEW
By Laurie Laird LONDON (MaceNews) – The European Central Bank could refine its approach to achieving price stability during its delayed strategy review, assessing its inflation target and the components of the inflation basket, according to top rate setters Wednesday. The ECB has resumed a strategy review halted by the COVID pandemic, an evaluation that […]
FED’S CLARIDA: ‘LIFTOFF’ TO RATE CHANGES GOVERNED BY ECONOMY
–Election Day Pressure Builds on Senate to Get Pandemic Relief Passed –Tsy’s Mnuchin in Abu Dhabi But Has Call Skedded with Speaker Pelosi WASHINGTON (MaceNews) – Federal Reserve Vice Chair Richard Clarida Monday emphasized that the central bank will be watching the economy through a wide variety of indicators and won’t be considering any change […]
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 […]
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 […]
FED’S EVANS Q&A: ONUS STAYS ON FISCAL POLICY TO SUPPORT RECOVERY
NEW YORK (MaceNews) – Chicago Fed President Charles Evans suggested Wednesday he is in no rush to reassess the Federal Reserve’s monetary policy and the burden remains on fiscal policy to support the recovery. Asked by reporters whether likely delay in federal fiscal support would prompt the Fed to consider new measures to bolster the […]
FED’S EVANS: FED SHOULD RESIST INCLINATION TO ‘BACK OFF THE OVERSHOOT’ TOO SOON
NEW YORK (MaceNews) – Monetary policymakers must be wary of tightening policy too much and too soon if they are to execute the Federal Reserve’s new average inflation targeting strategy, Chicago Fed President Charles Evans said Wednesday. Evans, in remarks for delivery to the Metals Service Center Institute, repeated that the Fed is now obliged […]