Central Banks
Basel II's procyclical costs
By increasing capital requirements during economic downturns, Basel II will offset improvements in monetary policy trade-offs caused by countercyclical variations, research published by the Bank of Finland finds.
Fed cuts rates by half a point
The Federal Open Market Committee voted on Wednesday to lower rates by 50 basis points to 3%.
Markets expect half-point cut from Fed
The majority of analysts expect the Federal Reserve to cut rates by a further half-a-percentage point on Wednesday.
Fed auction reveals relative interbank calm
Money market tensions in the United States showed further signs of abating on Tuesday as the Federal Reserve published the results of its latest Term Auction Facility operation.
Malaysia keeps rates at 3.5%
Bank Negara Malaysia's rate-setting monetary policy committee voted to hold its benchmark overnight policy rate at 3.5% on Monday in spite of concern over inflation.
More banking competition produces mixed results
A u-shaped relationship exists between competition and the risk of bank failure, research published by the Centre for Economic Policy and Research (CEPR) finds.
UK rates "restrictive", says dovish Blanchflower
David Blanchflower, the only member of the Bank of England's nine-strong monetary policy committee (MPC) to back a rate cut earlier this month, has said monetary easing is vital to avoid a recession.
Europe's single payments area goes live
Eurozone banks and customers received a boost on Monday as the Single Euro Payments Area (SEPA) went live.
Israel holds rates at 4.25%
The Bank of Israel's rate-setting board voted on Monday to keep rates at 4.25%, despite concern over rising inflation.
New Zealand's Bollard warns on inflation risks
A number of international price shocks are posing a threat to price stability in New Zealand, said Alan Bollard, the governor of the central bank.
Fukui reviews Japanese monetary policy
Japan's economy is expected to continue expanding moderately, although for the time being the pace of growth is likely to slow because of sluggish housing investment, said Toshihiko Fukui, the central bank governor, paving the way for possible rate hikes.
Second Polish deputy resigns, slams governor
Jerzy Pruski, a deputy governor at the National Bank of Poland, has resigned, citing differences with Slawomir Skrzypek, the governor of the central bank. Pruski's departure follows that of his fellow deputy, Krzysztof Rybiski, earlier this month.
IMF calls on top state funds to make the rules
The International Monetary Fund has called on sovereign wealth funds in Singapore, Norway and Abu Dhabi to develop a set of benchmarks for transparency.
Japan cut unlikely after Fukui comments
A slowdown in Japanese growth will not lead to a rate cut, Toshihiko Fukui, the governor of the Bank of Japan indicated on Friday.
Japan's hawk turns dove after building slump
Atsushi Mizuno, the only member of the Bank of Japan to consistently back a rate hike during the second half of last year, changed tack in December due to the poor performance of the construction sector, minutes from the monetary policy meeting reveal.
The optimal horizon for inflation targeting
The optimal horizon for inflation targeting is highly shock-specific, research published by the Central Bank of Norway finds.
France's Noyer backs SocGen despite €5bn fraud
Christian Noyer, the governor of the Banque de France, said on Thursday that he was "not at all worried" about Societe Generale, the second largest French bank, despite it falling victim to the biggest fraud in banking history.
ECB sticks to inflation line amid OECD cut calls
Jean-Claude Trichet, the president of the European Central Bank, and fellow members of the rate-setting governing council have defended the central bank's decision to fight inflation, in spite of increasingly vociferous calls for them to cut rates.
New Zealand holds rates at 8.25%
The Reserve Bank of New Zealand's rate-setting board voted on Thursday to keep the benchmark official cash rate at 8.25% in spite of high inflation.
Brazil rates remain at 11.25%
The Central Bank of Brazil's rate-setting board on Wednesday voted unanimously to keep the benchmark Selic rate at 11.25%.
New SWF event to be held in London
Whether being portrayed as villains for their opacity and secrecy, or as saviours for shoring up the capital bases of some of the biggest investment banks, sovereign wealth funds have seldom been off the front page of late.
European and US markets fall despite Fed cut
Stocks listed on European and US bourses continued to slide on Wednesday, following the Federal Reserve's emergency 75 basis point cut on Tuesday.
UK's King unlikely to take Fed tack on rate cuts
Mervyn King, the governor of the Bank of England, signalled he would prefer a gradual decline in rates on Tuesday in a speech that noted the risks to inflation as much as those to growth.
Norway keeps rates at 5.25%, warns on prices
The Bank of Norway's rate-setting board on Wednesday left its key policy rate unchanged at 5.25%, despite concern over inflation.