Monetary Policy
Services inflation must fall: Bank’s Sentance
BoE rate-setter Andrew Sentance says spike in goods inflation is increasing pressure for services inflation to be controlled
Turkey warns of risk from higher commodity prices
The Central Bank of Turkey flags dangers presented by rise in commodity prices
Iceland cuts by 50 bp as króna stands ground
Unexpected reduction leaves borrowing costs at 9.5%, central bank notes Icesave debacle failed to impact króna
BoJ more optimistic on growth, deflation
Bank of Japan lifts economic projections in sign it sees policy as sufficient
SARB split over rate hold
Majority opt to hold rates at 7%, governor discusses inflation-targeting review
BoE statistics show broad money contraction
Data released by the Bank of England last week showed M4 growth was negative, although lending increased very slightly
BuBa’s Fabritius: monetary policy can’t stop bubbles
Bundesbank’s Hans Fabritius says monetary policy has limited capability to target asset bubbles
SNB policy impacts franc’s rate by less than 20%
Swiss National Bank looks at the determinants of the franc’s exchange rate against the euro
Great Depression spread by Germany, not US
A new paper argues that the 1931 crisis was propagated by the collapse of Germany's banking system
The behavior of money
A technical paper from the Central Bank of Ireland looks at how the demand for money has changed as the store of value function has gained in importance over the past 40 years.
SARB – an official history
The South African Reserve Bank publishes an account of its history, functions and institutional structure
Fed’s Dudley shoots down “audit” bill
William Dudley, president of the New York Fed, dismisses calls for greater scrutiny as threat to independence in policymaking
Uganda’s Tumusiime-Mutebile on media relationships
Bank of Uganda’s Emmanuel Tumusiime-Mutebile says effective communication with the public is crucial for central bank’s work
Rates on hold – Colombian minutes
Minutes of the Colombian central bank’s December policy meeting show inflation is not yet a concern
Two challenges for policy in the near future
Donald Kohn, vice chairman of the Federal Reserve Board, set out his views on the Fed’s exit and the potential to include asset prices and financial stability questions in monetary policy.
Wait and see on rates – MPC minutes
Bank of England’s monetary policy committee is unanimous is decisions to hold rates and the size of the quantitative easing programme
New DSGE model for Estonia
Bank of Estonia makes public its new dynamic stochastic general equilibrium model for the domestic economy
Canada holds rates steady
The Bank of Canada keeps its key rate unchanged and cuts back its money market operations on the strength of the economy’s recovery
Record inflation growth in the UK
CPI rises by highest-ever monthly margin, QE extension looks less likely
Rethinking risk aversion in asset-price models
San Francisco Fed shows measuring household risk aversion correctly is crucial for understanding asset prices
ECB winds up euro-franc swap line
The European Central Bank says it will let seven day euro-franc swap line expire at the end of January in a further sign that it is withdrawing extraordinary support measures
Accurate inflation forecast crucial for exit plan
St Louis Fed looks at challenges in designing effective exit policy
Timing is everything: RBI’s Subbarao on exit
RBI governor Duvvuri Subbarao stresses the need to support recovery while addressing soaring inflation a week ahead of next policy meeting
Swiss govt must defend free trade – SNB’s Roth
Swiss National Bank’s Jean-Pierre Roth says weak growth, unemployment, public finance and inflation key future challenges