Update: Bank of Canada’s Macklem Sees Multiple Rate Hikes But Not on Autopilot

— Adds governor comments from news conference, background at bottom By Max Sato (MaceNews) – Bank of Canada Governor Tiff Macklem on Wednesday stressed that the bank’s latest view that domestic interest rates are “on a rising path” does not mean that the bank’s policymakers would automatically keep raising rates once they embark on tightening.   […]

Updated Preview: Japan Q4 GDP Rebound Seen on Easing Supply Bottlenecks, Covid Lull

–Updates with latest consumption data in paras 6-7, government measures in para 17, ESP Forecast in paras 18-19, Watchers’ survey at bottom — Consumption, Capex, Net Export Gains Behind Expected Solid Q4 Growth — Q1 GDP Face Downside Risks As Omicron-Led Covid Spike Hurts Sentiment  By Max Sato (MaceNews) – Japan’s gross domestic product for […]

Cleveland Fed’s Mester: Should Reduce Balance Sheet Soon, Faster Than Last Time

By Steven K. Beckner (MaceNews) – Expressing heightened concern about inflation, Cleveland Federal Reserve Bank President Loretta Mester called Wednesday for an early and relatively rapid firming of monetary policy. Mester, a voting member of the Fed’s policy making Federal Open Market Committee this year, said she favors starting to raise the federal funds in […]

Japan Dec Household Spending Dips Again; Q4 Rise Points To Solid GDP Growth

— Oct-Dec Household Spending +4.6% Q/Q; Q4 GDP Seen Up 1.4% Q/Q— Shrinking Demand for TVs, Food for Cooking Leads To Y/Y Drop in December— Spending on Dining Out, Traveling Up Y/Y But Ministry Keeps Close Watch By Max Sato (MaceNews) – Japan’s household spending suffered a slight drop from a year earlier in December […]

PREVIEW: Japan Q4 GDP Rebound Seen on Easing Supply Bottlenecks, Covid Lull

— Consumption, Capex, Net Export Gains Behind Expected Solid Q4 Growth — Q1 GDP Face Downside Risks as Omicron-Led Covid Spike Hurts Sentiment   By Max Sato (MaceNews) – Japan’s gross domestic product for the October-December quarter is forecast by economists to post a 1.4% rebound on quarter, or an annualized 5.8% rise, as easing […]

Italy Govt To Extend Loans Freeze, Boost State-Backed Guarantees – Sources

By Silvia Marchetti ROME (MaceNews) – Italy’s government is expected to extend a key pandemic loans payment moratorium which expired in December 2021, and boost state-backed guarantees for private investments, according to ruling coalition sources. The extension of both measures, set-up in the wake of the COVID-19 crisis to help struggling firms’ and families access […]

UK Chancellor Pledges Energy Support With UK Gov’t Under Further Pressure

— Two Top Downing Street Officials Resign; Northern Irish Executive Under Threat over Brexit LONDON (MaceNews) – UK Chancellor of the Exchequer Rishi Sunak announced a package of measures to reduce the sting of rising energy bills, marking a rare public appearance while the government struggles to counter allegations that civil servants held multiple parties […]

US Service Sector Climate Slumps To 11-Month Low in January As Covid Bites

— Supply Bottlenecks, Labor Shortages Continue To Block Quick Recovery— Service Providers Struggling To Replenish Inventories By Max Sato (MaceNews) – The recent spike in Covid cases hurt the service sector in the US in January as the ISM services index fell 2.4 points to an 11-month low of 59.9 from 62.3 (revised from 62.0) […]

Bank of England Lifts Rates; Sends Hawkish Signals

— Decision was a “close call,” says governor, as four members argue for a steeper increase LONDON (MaceNews) – The Bank of England lifted interest rates for the second straight meeting — the first consecutive hikes since 2004 —but surprised the markets with a decidedly hawkish outlook, according to minutes of the February Monetary Policy Committee […]