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BoJ's Fukui says board split 7-2 on target cut

Bank of Japan governor Toshihiko Fukui said on Friday 20 May that the BoJ's policy board vote was spilt 7-2 on maintaining the liquidity target at 30-35 trln yen. "Two members thought the target ought to be lowered," Fukui told a press conference.

BoE's Large on a framework for financial stability

In a speech on 'A framework for financial stability' given on 18 May, Andrew Large of the Bank of England cautioned that new entrants such as hedge funds and insurers have become active in derivatives at a time when the depth of the market is still…

Fed's Kohn on modeling inflation

In a speech on 'Modeling inflation: A policymaker's perspective' given on 20 May, Donald Kohn of the Federal Reserve called for improvements in inflation modeling, saying an increase in core US inflation in 2004 and 2005 caught him and many other…

Mervyn King and the invisible hand

Bank of England governor Mervyn King delivered a speech this week in which he revealed his "Maradona theory of interest rates" based on the Argentine legend's second goal against England in the 1986 World Cup quarter-final.

Fed's Gramlich resigns to pursue teaching

Edward Gramlich submitted his resignation Wednesday 18 May as a member of the Board of Governors of the Federal Reserve System, effective 31 August. Gramlich is resigning to pursue several teaching and research interests.

Greenspan could stay on longer at Fed

The US administration of George W. Bush is considering whether to encourage Federal Reserve Chairman Alan Greenspan to stay for at least a few months beyond the 31 Jan expiration of his term, the Washington Post reported this week.

Interview with RBI's Reddy

In an interview published on Wednesday 18 May Reserve Bank of India Governor Yaga Venugopal Reddy said any revaluation of the Chinese yuan will have less of an impact on India than other Asian countries.

Euroclear appoints John Trundle MD

Euroclear SA/NV announced on Thursday 19 May that John Trundle will become Managing Director and head of Risk Management for the Euroclear group, effective 6 June.

BoE's Tucker reappointed to MPC

Paul Tucker, Executive Director for Markets at the Bank of England, has been reappointed for a further three-year term as a member of the Monetary Policy Committee with effect from 1 June 2005.

Hong Kong loosens its dollar's 22-year peg

Hong Kong Monetary Authority chief Joseph Yam said on Thursday 19 May that a decision to loosen the Hong Kong dollar's 22-year peg to the US dollar won't encourage banks to raise interest rates sharply and hurt businesses.

Malaysia to maintain currency peg

Malaysia will maintain its seven-year-old currency peg to the US dollar and has no plans to impose measures to curb the flow of speculative funds into the economy, Deputy Prime Minister Najib Razak said on Thursday 19 May.

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