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Central Banks

Indonesian governor questioned

Burhanuddin Abdullah, the governor of Bank Indonesia has been questioned over an alleged corruption case which the country's powerful Corruption Eradication Commission believes involves the central bank.

Fed's Evans sees pause in rate cuts

Charles Evans, the president of the Chicago Federal Reserve Bank, said that the recent interest rate reductions taken by the Fed should be sufficient to help promote moderate growth over time and mitigate the risks to economic activity.

Mixed results for inflation targeting

A study by the Bank of Canada finds that the ability of inflation-targeting central banks to hit their targets varies considerably. The study, published in the Bank of Canada's Winter Review, looked at 21 countries over the period 1990 to 2007.

Australia considered bigger rise

Minutes from the February board meeting of the Reserve Bank of Australia show that the central bank considered raising its cash target by a bigger margin than the quarter percentage point rise announced on 5 February.

Reserve managers look to derivatives

A survey by Central Banking Publications, sponsored by the Royal Bank of Scotland, has found that central bank reserve managers are still searching for yield after the recent credit turmoil, and that over half of those surveyed see derivatives as an…

Dynamic pricing and imperfect common knowledge

This paper by Kristoffer Nimark of the Reserve Bank of Australia introduces private information into the dynamic pricing decision of firms in an otherwise standard new Keynesian model by adding an idiosyncratic component to firms' marginal costs.

Euro expectations stabilise currencies

Relatively stable market expectations for euro-locking rates have fixed the exchange rates of three central European currencies, research published by the National Bank of Hungary finds.

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