Monetary Policy
CentralBankNet Special Feature
The European Central Bank and members of the ECOFIN Council have stressed several times during the discussions about the proposed European Constitution that no substantive changes are necessary regarding the monetary framework of the euro currency area…
Trichet on the ECB's monetary policy strategy
In a speech on 'The ECB's monetary policy strategy after the evaluation and clarification of May 2003' given on 20 November, Jean-Claude Trichet of the ECB said in the field of fiscal policies the arguments in favour of the Stability and Growth Pact are…
Chicago Fed's Moskow on the U.S. Economic Outlook
In a speech on 'U.S. Economic Outlook' given on 20 November, Michael Moskow of the Federal Reserve Bank of Chicago said he is confident that the US economy has the ability to handle its current challenges and the foundation to enjoy solid growth and…
Zimbabwe's inflation set to top 700 per cent
Presenting the National Budget last week, Zimbabwe's Finance and Economic Development Minister said inflation was likely to hit 700 percent by the end of March 2004, according to the Financial gazette. "However, it is my projection that inflation will…
Fed's Parry says US rates appropriate
The chances of inflation becoming a problem in the US economy are low, San Francisco Fed President and CEO Robert Parry has said, according to an AAP report. Speaking in Sydney via satellite, he commented "In the current low-inflation environment, upside…
Germany's Welteke warns on EU draft constitution
The chief of the Deutsche Bundesbank warned on Friday 21 November that unless changes are made to the EU's draft constitution it could jeopardise monetary stability in the eurozone, reports AFP. "In my view, redrafting the convention's proposal is…
Survey of Professional Forecasters
The Federal Reserve Bank of Philadelphia published its Fourth Quarter 2003 Survey of Professional Forecasters on 24 November. Forecasters gain optimism about 2004 - The outlook for growth over the next few quarters looks stronger now than it did just…
Fed's Poole says not worried on money supply drop
William Poole, President of the St Louis Fed, said on Friday 21 November that "If something happens that calls for policy to change then policy will change,", but until then interest rates would at their current record low levels, Reuters reports.
Fed to issue Beige Book 2 hours early
Due to the early closure of some financial markets for the Thanksgiving holiday, the Federal Reserve has said it will issue its Beige Book two hours early on 26 November, according to Reuters.
Fed's Ferguson hints no U.S. rate hike soon
Federal Reserve Vice-Chairman Roger Ferguson said in remarks to the Executives' Club of Chicago on Friday 21 November, and reported by Reuters, "Although the recovery now appears to have turned the corner, much additional progress remains to be made…
Fed's Stern sees no pick-up in inflation
Minneapolis Fed President Gary Stern said on Friday 21 November that if US inflation remains low, which he thinks it will, interest rates can also remain low, according to a Reuters report. "I don't expect to see any material acceleration of inflation…
IMF, EU back ECOWAS currency
Dr Michael Ojo, of the West African Monetary Institution (WAMI) told a press briefing at the weekend in Abuja that the IMF, European Union, ECB and the Bank of England are partners with WAMI in implementing the West African common currency.
Barker on UK monetary policy in a changing world
In a speech on 'UK monetary policy in a changing world' given on 20 November, Kate Barker of the Bank of England's Monetary Policy Committee said some of the major risks which face the MPC, and which have made recent decisions very finely-balanced, stem…
Trichet on Europe at the crossroads
In a speech on 'Europe at the crossroads' given on 20 November, Jean-Claude Trichet of the ECB said the euro has become a strong symbol of Europe. It makes the world "identify Europe" and helps Europeans to identify with Europe. I am grateful, Trichet…
Chicago Fed National Activity Index, October 2003
CFNAI indicates economy continued to grow in October - The Chicago Fed National Activity Index (CFNAI) released 20 November was +0.01 in October, a small decline from the September reading of +0.16.
Philadelphia Fed Business Outlook Survey, Nov 2003
Activity in the region's manufacturing sector continues to expand, according to the firms surveyed for the Philadelphia Fed's Business Outlook Survey, November 2003. The manufacturers remain optimistic about activity over the next six months.
Bank of Japan Monetary Policy Meeting, 21 Nov
At the Bank of Japan's Monetary Policy Meeting held on 21 November, the bank decided, by unanimous vote, to set unchanged guidelines for money market operations for the intermeeting period.
BoJ confirms economy is recovering
In its November monthly report released on Friday 21 November, the Bank of Japan confirmed that the economy is recovering "gradually", according to the Business Times. Although consumption remains weak, the BoJ said "Exports are increasing and capital…
Fed's Guynn says U.S. recovery sustainable
Speaking on Friday 21 November Atlanta Fed President Jack Guynn said that the US is already growing in what appears to be a broad based and sustainable way, according to Reuters. Though consumer spending may ease in the coming months, it is likely to…
PBOC issues coins marking lunar new year
The People's Bank of China began issuing a set of commemorative coins on Friday 21 November, according to a report by Xinhuanet, marking the Chinese year of the Monkey. The set includes six gold and six silver coins.
Czech President Klaus sceptical on the euro
Czech President Vaclav Klaus told the Cato Institute's 21st Monetary conference on Thursday 20 November that he was sceptical about the benefits of the euro as a single currency, reports UPI. He said that much more economic flexibility is needed for…
Canada's Dodge will cut rates if necessary
David Dodge said on Thursday 20 November that interest rates would be cut if the Canadian dollar's rise threatened the economy, according to the Globe and Mail. He said the Bank of Canada would act to stimulate domestic demand to return inflation to the…
ECB's Trichet:: unsound budgets fuel inflation
The ECB President said on Thursday 20 November that "non-disciplined" fiscal policies would undermine confidence and thus reduce potential output and longer-term growth in the eurozone, according to a report by AFP. "The arguments in favour of the…
BoE's Barker- Debt rise wouldn't make hike certain
Kate Barker, a member of the Bank of England's interest rate setting MPC, said in a speech on Thursday 20 November, reported by Reuters, that the fundamental reason for the recent increase in UK interest rates was not curbing consumer debt or house price…