Monetary Policy
Greenspan lost credibility says Soros
Speaking at the World Economic Forum in Davos, George Soros the billionaire investor said Federal Reserve Chairman Alan Greenspan has lost credibility for driving US interest rates to a four-decade low and promoting tax cuts.
China official says not ready to revalue currency
China is not ready to revalue its currency and needs time to find a new foreign exchange regime, state media reported Monday, citing comments by government officials.
Turkey to introduce inflation targeting early 06
Turkey's central bank will shift to a formal policy of inflation targeting from early 2006, its governor Sureyya Serdengecti told a conference.
Bulgaria's central bank sees forex reserves rise
Bulgaria's central bank (BNB) currency reserves as of last Friday increased to the equivalent of leva (BGN) 13.704 billion from BGN12. 759 a week earlier, the bank said.
RBNZ leaves interest rates unchanged
The Reserve Bank of New Zealand left interest rates unchanged at 6.50 per cent on Thursday. RBNZ governor Alan Bollard said the tightening in monetary policy over the past year currently looks sufficient to keep medium term inflation pressures in check.
BoE paper on low inflation since 1999
In a paper published on Thursday 27 January, 'Why has inflation been so low since 1999?', Bank of England Monetary Policy Committee member Stephen Nickell said looking to the future, there seems no reason why UK domestic goods price inflation will fall…
Chicago Fed National Activity Index, Dec 2004
The Chicago Fed National Activity Index (CFNAI) for December 2004 was +0.39, up markedly from +0.05 in November. Three of the four broad categories of indicators that comprise the index made positive contributions in December, while the employment…
Report says Fed to consider inflation target
Federal Reserve policy-makers will next week discuss whether to set a numerical objective for inflation and, if so, what it should be, the Wall Street Journal reported on Thursday 27 January.
PBOC's Zhou says China open to yuan discussion
People's Bank of China governor Zhou Xiaochuan was reported as saying that China is open to discussing the yuan exchange rate at the upcoming G7 finance ministers meeting but will not be pressured on any appreciation.
Latvia ready to link to euro, official says
A Finance Ministry official was quoted as saying that Latvia is ready to link its currency to the euro in a two-year test period prior to adopting the single currency.
Brazil's COPOM ready to raise rates if necessary
Brazil's central bank is ready to raise interest rates and will accelerate increases if necessary to control inflation, according to the minutes of its COPOM meeting held last week released on Thursday 27 January.
ECB's Issing says recovery still on track
Economic recovery in the euro zone remains on track, with the pace of growth set to accelerate later this year, European Central Bank chief economist Otmar Issing said in a speech on Wednesday 26 January.
When monetary tools start to lose their edge
This article asks what central bankers do when their monetary tools begin to lose their edge. This may be a question that the Federal Reserve is having to address at the moment, it says. The Federal Reserve's challenge seems to be that the linkage…
Philadelphia Fed Business Outlook Survey, Jan 2005
According to the firms surveyed for the Philadelphia Fed's Business Outlook Survey, January 2005, manufacturing activity in the region continues to expand, but at a slower pace than reported at the end of 2004. Many of the indicators, including general…
Sri Lanka's Mendis on post-disaster rebuilding
In the speech 'Creating a challenging and stimulating work environment' given on 1 January, Sunil Mendis of the Central Bank of Sri Lanka said that with the magnitude of the disaster, there is no question that our nation needs to be rebuilt. Hence, as…
Bank of England MPC Minutes, 12 &13 January
The minutes from the 12 & 13 January meeting of the Bank of England's Monetary Policy Committee published on Wednesday 26 January showed the nine members voted unanimously to hold rates at 4.75 per cent.
Fed's Hoenig says economic outlook bright for US
Kansas City Federal Reserve President Thomas Hoenig said on Tuesday 25 January that the outlook for the US economy is pretty bright and inflation should not be a major issue this year.
EU's Almunia says strong euro not posing problems
EU economic and monetary affairs commissioner Joaquin Almunia told a breakfast briefing held by the European Policy Centre think tank that the strength of the euro is not posing problems for Eurozone countries.
BoJ likely to lower price forecast says Mizuno
Bank of Japan board member Atsushi Mizuno said that the central bank will probably drop its October forecast that consumer prices will have an increase next fiscal year for the first time in eight years.
SF Fed's Yellen on the US economic outlook
In a speech on 'The US economic outlook' given on 20 January, Janet Yellen of the Federal Reserve Bank of San Francisco said US inflation should stay contained this year, while the risks to price stability are well balanced.
Deficit triggers rumbling at Fed
George Bush's longtime honeymoon with the Federal Reserve may be ending, this article suggests. The new element is a rising concern at the Fed about the US budget deficit, which hit $413 billion in 2004; a low and declining national savings rate and…
ECB's Trichet on communication and transparency
In a speech on 'Communication, transparency and the ECB's monetary policy' given on 24 January, Jean-Claude Trichet of the ECB said hinted that a rise in eurozone interest rates was not likely in the immediate future, despite a pick-up in inflation as a…
Bank of Canada, Business Outlook Survey, Winter 05
The Bank of Canada's Winter 2005 Business Outlook Survey reports that businesses remain positive about the economic outlook but less so than in the autumn survey. The appreciation of the Canadian dollar between the survey periods has heightened…
Bank of Canada keeps interest rates unchanged
The Bank of Canada announced on Tuesday 25 January that it is maintaining its target for the overnight rate at 2 1/2 per cent. The bank said the Canadian economy continues to adjust to major global developments.