Monetary Policy
Draghi enters fray to defend Cyprus central bank independence
ECB president warns Cyprus government against violating the central bank’s independence by dismissing its governor; says any gold sales should benefit the central bank ‘first and foremost’
Kuroda outlines thinking behind monetary shock tactics
New BoJ governor says ‘quantitative and qualitative measures' will remain in place until inflation stabilises at the 2% level, and explains why he rejected a gradual approach to easing
Central banks 'getting away with murder', says currency investor
Central banks are pursuing the wrong policies and will find it difficult to know when to tighten monetary policy, says Axel Merk
Plosser: Fed should cut asset purchases now
Philadelphia Fed president says there has been ‘substantial improvement’ in US economy and labour market; sees scope to taper asset purchases now and end programme altogether in 2013
Interest rate forecasts ‘constrain’ central banks
Norwegian paper finds that Norges Bank and Reserve Bank of New Zealand are ‘reluctant to deviate’ from interest rate paths they have previously published
IMF annual report says asset bubbles among risks of ‘MP-plus'
IMF warns of risk associated with loose monetary policy in the world's biggest economies, but says stance should remain 'very accommodative until recovery is well established'
Palestine Monetary Authority finds greater parity between West Bank and Gaza territories
Palestinian central bank develops business-cycle indicator to assess economic performance in real time; finds gap in performance between two territories is shrinking
Norges Bank governor outlines Norwegian model for stability
Øystein Olsen tells Harvard audience of Norway's fiscal rule and inflation-targeting - but warns the system has yet to be seriously tested
IMF says independent central banks have ‘muzzled’ the inflation threat
World Economic Outlook says central banks have little reason to fear inflation resulting from loose policy – so long as their independence is upheld
FOMC members saw QE continuing ‘through midyear’ at March meeting
Participants at the FOMC’s last meeting broadly agreed to continue QE at existing pace ‘through midyear’ but failed to reach a consensus on when to slow asset purchases
Polish paper scrutinises interest rate holds
Research finds that central banks keep interest rates unchanged on majority of occasions; proposes model that distinguishes between rate-holds in period of tightening, easing and neutrality
BoJ minutes reveal tensions over asset purchase programme
Minutes of final meeting under governor Masaaki Shirakawa show disagreement over whether to loosen policy further, including changes to quantitative easing
Lagarde fears ‘unintended consequences’ of monetary easing
IMF managing director fears side effects from low interest rates and asset purchases; says there is a limit to the share of the burden of recovery that monetary policy can take
IMF paper uses monetary model to explain term premium
Study says central bank supply of liquidity influences asset prices; argues that this relationship can explain greater proportion of term premium than non-monetary models
US non-farm payroll stats strengthen case for more QE
Boston Fed president joins calls to continue QE programme as US employment recovery falters
Yellen calls quantitative thresholds a ‘major improvement’ in forward guidance
Federal Reserve vice-chair justifies move to unemployment-based guidance; says clear ‘exit principles’ are important for ending quantitative easing safely
Chilean paper finds central bank’s forecasts influence private sector expectations
Working paper finds evidence the private sector updates inflation expectations based on the Central Bank of Chile’s forecasts; suggests more central banks should publish forecasts to aid policy
BoE chief economist says QE impact will vary, but not diminish, over time
Spencer Dale says effects of asset purchases depend on the time and place they are conducted; Bank of Japan’s shocking policy announcement may have been necessary to correct misperceptions
Assistant governor says RBNZ should not be target of exchange rate ‘angst’
John McDermott deflects criticism that the central bank is failing to correct the exchange rate, warning hard-won inflation credibility could be lost and other factors are at play
IMF working paper examines monetary policy ‘leaning against the wind'
Monetary authorities that want to stimulate the economy while maintaining financial stability should cut deeper, but then raise rates again faster
Hungary launches $2bn scheme to boost SME lending
New scheme will lend to commercial banks interest-free to on-lend to SMEs; cash also available to re-finance foreign-denominated loans into Hungarian forints
San Francisco Fed president predicts mid-year asset purchase slowdown
John Williams says economy has shifted into ‘higher gear’ and a substantial labour market improvement could trigger decline in asset purchases
Draghi promises Cyprus bail-out is ‘no template’
Mario Draghi says an established pecking order of ‘bail-inable’ debt will avoid repeating the chaotic resolution in Cyprus; ECB and BoE both hold rates
Kuroda unveils radical plan to end Japanese deflation
Measures aim to double monetary base in two years, with asset purchases no longer constrained by banknote rule; mixed response as questions raised over whether yet more easing will work