Monetary Policy
IMF says China needs new tools to get a grip on credit growth
Staff report on China highlights need for a new growth model centred on private consumption; calls for the PBoC to adopt interest rates as its key policy instrument
Richmond paper instructs ECB to buy government debt
Working paper argues the ECB already conducts fiscal policy through the allocation of its seigniorage revenues, and should ‘overcome’ its resistance to buying sovereign debt directly
BoJ paper examines consumer spending in low-interest rate environment
Research based on BoJ opinion survey finds that an individual with higher inflation expectations will tend to have increased their consumer spending when interest rates are at the zero lower bound
ECB compares central bank collateral frameworks
Study by ECB contact group says differences in central bank, regulator and CCP collateral frameworks enhance resilience of financial market infrastructures
BoE's Fisher outlines likely QE exit route
BoE's head of markets tells parliamentary committee the MPC would hike interest rates as a signal that asset sales were on the way, but said its next move is more likely to be further easing
Reserve Bank of India announces measures to bolster weakening rupee
In tightening move, RBI raises its Marginal Standing Facility rate to 10.25% with 'immediate effect'; currency value rebound is expected to be short-lived
Korean MPC member says economy ‘relatively safe’ from impact of Fed taper
Woosik Moon says emerging economies will see long-term interest rates rise as global liquidity contracts, but the strength of Korea’s economy should insulate it against the turbulence
RBA minutes show board happy to let dollar keep falling
Reserve Bank of Australia monetary policy meeting minutes show the board feels a weaker Australian dollar could rebalance the economy; inflation outlook will allow for more easing
Turkish central bank weighs rate hike to stem lira slump
Governor Erdem Başçı says the MPC will consider widening the interest rate corridor in its meeting next week; forex auctions failed to reverse falling value of assets and currency
Fed's Plosser calls for more systematic monetary policy approach
Federal Reserve Bank of Philadelphia president Charles Plosser is bullish on the US labour market, calls for QE wind-down
Eurozone countries still react differently to monetary policy, paper finds
Bank of Italy researchers find response has become more homogenous, but differences remain in the reaction of prices and unemployment
Asian integration is still ‘incomplete’, says RBI exec director
G Padmanabhan says regional integration of Asian finanical markets has some way to go, and creation of an EU-style body remains ‘far-fetched’
Brazil street protests show crucial role of central bank, says ex-governor Franco
Some politicians have ignored fears about rising inflation in Brazil but street protests demonstrate the vital importance of the Central Bank of Brazil in fulfilling its mandate, says Gustavo Franco
Russian central bank introduces new instrument for cheaper funding
New Bank of Russia governor brings in policy to auction 12-month loans to banks with a starting price 150bp under the standard 12-month repo rate
Bernanke: Past century shows ‘central banking doctrine and practice are never static'
Fed chief added recent crisis has underscored the need to strengthen and better integrate US monetary policy and financial stability frameworks
ECB monthly bulletin explains forward guidance
ECB's July bulletin sets out the thinking behind forward guidance, emphasising it is 'fully consistent with the ECB's mandate and monetary policy strategy'
Fed minutes reveal split over tapering as ‘dovish' Bernanke calms markets
Records released on Wednesday show ‘several' FOMC members want to end asset purchases before year's end; In Q&A, Bernanke maintains ‘overall thrust of policy is highly accommodative'
Bank of Japan holds policy as economy ‘starts to recover'
BoJ confident inflation will start to rise, as starts to see signs of recovery in the economy; keeps quantitative and qualitative easing programme in place
Indonesia hikes policy rates by 50 basis points
Policy rate up to 6.5% despite falling growth; move aims to combat rising inflation, as international capital flows hit currency value
Cœuré says ECB's non-standard monetary measures targeted at financial fragmentation
The ECB board member says unconventional policies were 'designed to tackle the peculiar euro area phenomenon of financial fragmentation'
ECB and Macedonian central bank complete co-operation programme
ECB's Jörg Asmussen says in Skopje that a strong EU has to be based on strong national institutions; report finds Macedonian central bank ‘equal or close to EU standards in many areas'
Fed's Williams argues for 'muted' monetary policy in uncertain economic times
Reserve Bank of San Francisco governor John Williams has examined the 'implications of uncertainty about the effects of monetary policy for optimal monetary policy'
Inflation-targeting central banks respond to movements in the Fed funds rate, new research shows
A CPI inflation-based Taylor rule can implement flexible price allocation under some specific circumstances, authors say
IMF's Lagarde supports negative rates in eurozone
IMF Article IV for the eurozone backs Draghi promise to keep rates low and says negative rates would support demand and ward off deflation; ECB chief concerned that financial transactions tax will hurt monetary policy efficacy