Monetary Policy
Stick to inflation targeting, Grimes tells central banks
Central bankers should stick to what they do best – keeping inflation in check – without taking on multiple targets that damage their credibility, says recently retired RBNZ chairman Arthur Grimes
Australia PM adds to RBA intervention momentum
Tony Abbott says central bank has sufficient reserves to 'intervene prudently and appropriately' in forex markets; Glenn Stevens 'suspects' the market will spare the RBA the need to act
Bank of Canada's Poloz says economic models 'better source of questions than answers'
Governor warns Canadian household imbalances could eventually result in 'sharp correction'; argues deflation still bigger concern than 'explosion in inflation' prompted by loose monetary policy
Italian paper finds government spending multipliers less than 1 at ZLB
The multiplier can go above 1 only when monetary policy is held constant for at least five years - but can still be reduced by elevated sovereign risk, researchers find
Interest rates best transmit South African monetary policy, say researchers
New Sarb paper analyses five transmission channels for a monetary policy shock, finding interest rates to be the strongest, and asset prices the weakest
Bank of Thailand MPC insists rising inflation is ‘not immediate threat’
Minutes from November meeting show the committee voted to cut rates for the second time in six months despite one member’s concerns that inflation could continue to pick up in 2014
Lagarde calls for pre-emptive action on eurozone deflation
IMF managing director says the ECB should act to shore up eurozone inflation and find ways of getting credit to SMEs; Draghi says ECB must pursue price stability by all means necessary
Fed presidents weigh in on QE as job numbers improve, debt ceiling showdown looms
Five of 12 regional Fed presidents have staked out their positions on bank's asset purchases in recent days as FOMC gears up for next meeting on December 17
UK can escape ‘liquidity trap', Carney says
Mark Carney tells New York audience the Bank of England's joint responsibility for monetary and financial policy allows it to stimulate the economy while avoiding unbalanced growth
Kuroda calls for research into political constraints on monetary policy
Bank of Japan governor Haruhiko Kuroda stresses the need to understand more about the ‘political and administrative feasibilities’ that bind monetary policy
MAS launches two-year technical assistance programme for neighbouring central banks
The Monetary Authority of Singapore will provide training activities and forums for 190 central bank officials from Cambodia, Laos, Myanmar and Vietnam between now and 2015
Reserve Bank of New Zealand looks to ramp up ‘alternative' communication
RBNZ doubles down on speeches and alternative media channels such as videos and infographics to cut through post-crisis ‘noise'; follows Riksbank's communication strategy overhaul earlier this week
Link between ECB liquidity ops and interbank repo breaks down in crisis
Researchers at the New York Fed find that the relationship between ECB monetary policy operations and interbank borrowing did not survive the collapse of Lehman Brothers and associated crisis
Unexpected increases in Fed funds rate prompt gold prices to rise
Atlanta Fed working paper examining futures data between 1998-2008 finds that unexpected changes in the Fed's monetary policy can influence commodity prices
ECB ‘ready and able to act’ as staff lower inflation forecasts
European Central Bank holds key interest rate at 0.25% as staff predict inflation drop in 2014; Draghi says governing council is willing to use ‘all available instruments’
East African states strike deal over monetary union
Political leaders from Burundi, Kenya, Rwanda, Tanzania and Uganda sign protocol outlining the path towards an East African single currency area
Bank of Russia sees inflation out of monetary policy control
Improvements to the transmission mechanism should enable the Russian central bank to target inflation more effectively, but prices will be influenced predominantly by non-monetary factors
BoJ’s Sato says central bank is ‘breaking away’ from incremental policy
Policy board member Takehiro Sato says QQE marks a departure from the conventional incremental approach to policy-making; says additional easing could be ‘counterproductive'
National Bank of Denmark winds up emergency lending measures
Six-month loans against a broad range of collateral introduced during the financial crisis will be terminated next year as normality returns to financial sector, central bank says
RBA’s Stevens laments ‘uncomfortably high’ currency
Reserve Bank of Australia governor Glenn Stevens says the Australian dollar is still too strong, despite depreciation against the US dollar
Korea sheds light on MPC voting results
Bank of Korea monetary policy report reflects on the decision to announce voting results in the wake of MPC meetings; only one disagreement in the ensuing seven meetings
NY Fed vice-president on the evolution of Fed monetary operations
Simon Potter says the Fed has 'developed and tested' many different monetary policy tools since the crisis, including term and overnight reverse repos 'diverting deposits from banks'
Maltese governor says ECB’s policy will ‘take a while’ to hit periphery
Josef Bonnici attributes the drop in loans to the private sector in the eurozone’s stressed countries to the ‘weak and uneven’ monetary policy transmission mechanism
BoJ will need ‘aggressive' re-capitalisation at end of QQE, top economist warns
Nomura chief economist warns the practice of handing over the profits from QE to the Japanese government means the central bank could find itself under-capitalised when the programme ends