Central Banks
Argentina raises rates again
Economic stability grows more distant as elections loom
Lula’s risky challenge to the Brazilian central bank
President can nominate board members and increase inflation target as he pushes for lower rates
Florida adopts anti-CBDC law
Governor has denounced US digital currency, though there are no concrete plans for one
The allure of private markets
SWFs have piled into the asset class while reserve managers remain wary, writes Blake Evans-Pritchard
European body criticises some of ECB’s supervisory methods
ECB rejects audit body’s arguments over supervision of eurozone NPLs and capital levels
Fed communication drives house price expectations – NBER paper
Researchers find people’s expectations vary widely and depend on clear explanations
Common deposit insurance a ‘crucial step’ – ECB’s de Guindos
ECB vice-president says this is the European banking system’s main vulnerability
Ravi Menon reappointed as MAS chief for two more years
Menon was previously rumoured to be leaving his long-held post
Biden nominates Jefferson as Fed vice-chair
President chooses first Latinx candidate for Fed board, and names Cook for full term
Steeper Phillips curve cannot fully explain inflation surge – IMF paper
Structural factors have led to some steepening but it is not the full story, authors say
ECB paper suggests faster methods for estimating eurozone employment
Nowcasting tools outperform models currently used by ECB, researchers say
Ireland considers sovereign wealth fund
Finance minister suggests move as government forecasts cumulative surplus of €656 billion
Fed walking a financial stability ‘tightrope’
Experts disagree over US regulators’ use of systemic risk exception for deposit insurance
Peru holds rate at 7.75%
Central bank maintains policy unchanged since January, although inflation remains over target
Supervisors should take action on interest rate risk – BIS paper
Core regulation alone will not neutralise all current risks, Financial Stability Institute says
PBoC asks banks to lower maximum deposit rates
Recent data suggest consumption demand remains weak despite lifting of Covid-19 restrictions
ECB to review staff wages after union protest
Central bank will formally review pay after works council rejects below-inflation rise
Norges Bank maintains counter-cyclical buffer at 2.5%
Norwegian central bank warns of banking and household risk
BoE raises rates 25bp and ditches UK recession forecast
Central bank predicts inflation will stay higher for longer after MPC splits 7–2 on policy hike
Eurozone consumer inflation expectations rose significantly, ECB says
Rise in expectations may bolster arguments for tighter monetary policy