Central Banks
Growing divide between ethereum investors – Philadelphia Fed study
Paper claims returns disadvantage “minnows” more than would be case with conventional assets
Brazil congress postpones central bank autonomy bill again
Senate committee yet to schedule new date for vote on proposed law
Sri Lanka’s central bank forecasts fall in inflation
CBSL says figure will fall to its lowest point in early 2025 before rising again towards 5% target
Financial literacy quickens monetary policy reaction – study
Improving people’s knowledge of money matters could strengthen transmission
Lenders not ready for resolutions – EBA research
Authority finds commercial banks still unprepared for bail-in tool
MAS to conduct quantum security trials with major banks
Experiments on quantum key distribution aim to enhance financial sector’s cyber resilience
Cyber attacks increased in most countries over past two years
Central banks want cyber experts, awareness campaigns and collaborations to mitigate risks
Philippines cuts rates by 25bp
Inflation moving towards target, central bank says
Inflation in India falls to five-year low
Food inflation is also at its lowest level for more than a year
BIS paper links interest rate risk to bank lending supply
Monetary tightening affects bank lending more when “duration gap” is larger, authors find
Trump administration would pursue ‘course correction’ at Fed
Former Fed adviser says ex-president would try to reform an institution he already sees as politicised
Namibia administers first rate cut in four years
Move comes as inflation slows and foreign exchange buffers increase
PBoC delays medium-term lending facility operations
Postponement to later in the month aligns with bank’s plan to diminish MLF’s role as key policy rate
Central banks say co-operation on AML/CFT effective
But some still want improved data sharing, surveillance and relationships
Russia launches payments moratorium for displaced citizens
Residents of regions affected by Ukraine’s counteroffensive can defer payments for up to six months
Medium-term US inflation expectations hit record low
However, expert says infrastructure projects could push prices to higher-than-expected levels
HKMA launches GenAI sandbox
Authority encourages banks to test use cases such as improved risk management and anti-fraud efforts
Distribution of reserves determines QE and QT’s impact – BoE paper
Policies have ‘highly asymmetric’ impacts on reserve-scarce banks, researchers say
UK CPI up less than expected as services inflation falls
Figures may help allay concerns over persistent wage pressures
New Zealand cuts policy rate for first time in four years
RBNZ cites easing inflation and weakening economic activity
Rising AML/CFT risks reported in 40% of jurisdictions
But majority of central banks empowered and well equipped to mitigate risks
EMEs’ rising reserves increase global volatility – NBER study
Emerging economies’ accumulation of foreign assets has depressed global interest rate
Bank of Israel reports continued rise in digital payments
Survey shows increase pre-dates emergency measures brought in during Gaza war