Monetary Policy
Developments in the Japanese government bond mkt
CENTRAL BANK RESEARCH - The Bank of Japan has published a new reseach paper "Market Participants' Behavior and Pricing Mechanisms in the JGB Markets". In this paper, which is based on interviews with market participants, the authors explore various…
O'Neill mystified by Europe's complacency-FT
EUROPE - Paul O'Neill, U.S. Treasury secretary, said on Apr 19 that he was "mystified" by European leaders' claims that Europe would not be affected much by a U.S. downturn, the Apr 20 overseas edition of the Financial Times reported.
RBI may cut India bank rate Q2 of 01/02-JP Morgan
INDIA - India's central bank, which on Apr 19 released a monetary policy statement without any changes in rates, is expected to lower its benchmark bank rate later this year, JP Morgan Securities India said in a research report.
India may cut interest rates
INDIA - India's central bank has indicated an intention to cut interest rates to help revive the slowing economy. The governor made his comments at a presentation on monetary policy for this year.
ECB says bases policy on too slow, inaccurate data
GERMANY - The European Central Bank said on Apr 19 that the data on which it based policy decisions was often not timely or accurate enough for the job.
Debelle becomes RBA head of economic analysis
AUSTRALIA - The Reserve Bank of Australia has appointed Dr Guy Debelle as head of the economic analysis department, replacing Malcolm Edey.
Nigeria's cbank up banks' cash deposit to 40%
NIGERIA - Nigeria's Central Bank on Apr 19 announced it has raised the percentage of deposits that banks must now keep in cash to 40 percent from 35 percent.
European fin mins meeting to discuss growth, ECB
EUROPE - European finance ministers meeting in Malmo this weekend have put the European Central Bank on notice that it had better explain its refusal to cut interest rates amid gathering gloom for global growth.
Singapore's Lee says Singapore $ policy unchanged
SINGAPORE - Singapore will maintain its policy of a "gently appreciating band" for the Singapore dollar and expects positive economic growth in 2001, Deputy Prime Minister Lee Hsien Loong told parliament on Apr 19.
Philippine c.bank confirms 50 bps cut in key rates
PHILIPPINES - Philippine central bank governor Rafael Buenaventura confirmed on Apr 19 that its policy-making Monetary Board decided to cut key benchmark interest rates by 50 basis points, matching the move by the U.S. Fed overnight.
Rationale for transparency in central banking
SPEECH - The vice chairman of the Federal Reserve, Roger Ferguson, in a speech on central bank transparency, said that a transparent central bank will not always make its decision widely predictable.
Tokyo denies intention to depreciate yen
JAPAN - The Financial Times reported on Apr 17 that Japanese officials were attempting to deny rumours that Tokyo was trying to boost its flagging economy at the expense of other Asian exporters and the US by weakening the yen.
Fed seeks female governor for board-Reuters
UNITED STATES - The Bush administration is seeking women and bankers to fill two empty posts on the powerful seven-member Fed Board of Governors, Reuters reports on Apr 18.
New Zealand lowers interest rates to six percent
NEW ZEALAND - The New Zealand Reserve Bank has cut its official cash rate by 0.25 percent to 6 percent following an inflation dip.
Fed decision unlikely to influence ECB rates
EUROPE - Euro-zone interest rates are unlikely to change in response to the Federal Reserve's half point cut in key interest rates. The ECB again defended its decision last week not to reduce rates.
Fed surprises by reducing rates to 4.5%
UNITED STATES - The US Federal Reserve on Apr 18 continued its agressive easing of monetary policy by cutting interest rates by 0.5% for the fourth time this year.
Turk cbank reforms aimed at price stability-Dervis
TURKEY - Turkey's central bank would become a transparent institution with price stability as its primary aim under the reform plan put forward by Kemal Dervis, the economy minister.
Cavallo tries to ease fears over peso re-peg plan
ARGENTINA - Argentine economy supremo Domingo Cavallo is talking to Brazilian business leaders and investors on Apr 18 to try to soothe fears over his new currency plan that unnerved Brazilian markets.
BoE MPC voted 6-3 to cut rates to 5.5%-minutes
UNITED KINGDOM - Six of the nine members of the Bank of England's Monetary Policy Committee voted to cut the repo rate to 5.5% from 5.75% during their last meeting on Apr. 4-5, according to minutes of that meeting released on Apr 18, 2001.
BOJ considered aggressive easing in Feb-minutes
JAPAN - The Bank of Japan said on Apr 18 its Policy Board members had discussed a much more aggressive monetary easing at a February 28 policy meeting than the small rate cut they actually implemented.
Portugal cbank chief sees euro firming in 2001
PORTUGAL - Bank of Portugal governor Vitor Constancio on Apr 18 predicted the euro would recover from its current weakness by the end of 2001.
Swiss mon policy during 1970s-lessons for Japan
CENTRAL BANK RESEARCH - Peter Kugler from Basel University and Georg Rich from the Swiss National Bank have published a paper "Monetary Policy Under Low Interest Rates: The Experience of Switzerland in the late 1970s". Using evidence from Switzerland's…
Financial innovation and monetary transmission
CENTRAL BANK RESEARCH - On April 5-6, the Federal Reserve Bank of New York organized the conference "Financial Innovation and Monetary Transmission." The twelve papers presented at the conference cover many topics including the "announcement effect",…
Britain and EMU - the five economic tests
ARTICLE - GrahamBishop.com's latest publication on "Britain and Euroland" finds that the degree of divergence between Britain and key EU countries has already halved since the UK Treasury's 1997 assessment. So with a UK general election due in June 2001,…