Monetary Policy
Book notes: The art of monetary policy, by Kristin Forbes
The message that effective monetary policy-making requires judgement, flexibility and realism alongside technical expertise is both persuasive and highly relevant
Europe’s central banks face tough policy calls – Barclays CEO
Venkatakrishnan also spoke on UK political uncertainty, Brexit and banking regs
Iceland hikes by 25bp, citing rising expectations
Economic outlook deteriorates as energy prices rise and domestic wage pressures persist
Economy resilient despite restrictive rates, says BCB governor
Galípolo also tells Senate committee that fallout from Banco Master case is ‘extremely serious’
Indonesia surprises with 50bp hike
Bank predicts Fed tightening in 2027 as it continues to battle rupiah weakness
Fed’s Paulson says current interest rate level ‘appropriate’
High inflation accompanied by widespread pessimism in US labour market, FOMC member notes
RBA felt May hike gave it room to assess impact of Iran war
Board members believed tightening would make conditions slightly restrictive, minutes show
Focus on duration and not size of Fed ledger, ex-governor says
Discussion around balance sheet should go beyond shrinking nominal amount, argues Jeremy Stein
Uganda holds, but Zambia and Angola opt for cautious cuts
Economist says loosenings were motivated by positive inflation figures in southern African countries
The challenges facing Fed chair Kevin Warsh
New chair has pledged sweeping change, but can he keep Trump – and the FOMC – onside?
Battle of Trafalgar holds lessons on global liquidity – CEPR paper
Newly formed BdF struggled to cope with sudden loss of access to dominant currency
Turkey raises inflation target to 24%, citing war risks
Central bank will maintain ‘tight policy stance’ until price stability is achieved, says governor
BoJ’s Masa calls for tightening at ‘earliest stage possible’
Board member indicates conditions for rate rises are forming as inflation approaches 2% target
Kristin Forbes on ‘wargaming’ for the next crisis
The MIT professor and former BoE MPC member speaks about QE, scenario analysis and the art of conducting monetary policy in the ‘fog of war’
Leading central bankers defend frameworks amid ‘polyshock’
Panellists at SNB-IMF event say policy-makers should remain cautious in face of uncertainty
Pakistan’s central bank receives $1.3bn in IMF assistance
Fund says authorities need to maintain strong macro policies and accelerate reform efforts
PBoC expected to remain on hold following healthy PPI rise
China’s producer price inflation climbed out of long decline to 45-month high in April
Fed needs sounder framework for QE, G30 economists say
Former heads of BoE, BoJ and NY Fed discuss how US central bank could bolster its independence
Banxico announces final rate cut in two-year easing cycle
Split decision reflects concerns over weak growth and above-target inflation
Book notes: Redefining the monetary standard in the digital age, by Livio Stracca
A comprehensive and readable account of what digitalisation could mean for monetary policy
European central banks opt to hold
Albania, Czech Republic, Poland, Serbia and Sweden keep rates constant
Norway and Moldova are first in Europe to hike rates on Iran war
Norges Bank cites broad inflation concerns, but Moldova points to conflict-induced energy spike
BoJ mulled rate hike at March meeting if Iran war dragged on
Minutes show many board members cautioned against monetary response to energy shock
Prolonged Iran conflict poses stability risks – Barr and Woods
Fed governor and UK’s PRA chief also make renewed case for central bank independence