News
Canadian astronaut launches polymer banknotes
Former commander of the International Space Station marks the new $5 and $10 banknotes entering into circulation; senior deputy governor Tiff Macklem insists there is 'no chance' they will melt
ECB says no treaty change needed for SRM
Central bank pushes for introduction of ‘lawful' SRM by 2015; warns delay of bail-in tool may undermine resolution efforts by creating regulatory inconsistency and uncertainty
Danish authorities tackle mortgage bond refi risk
Lars Rohde hails a new bill forged by the central bank and the government as the solution to the ‘excessive refinancing risk’ in Denmark’s mortgage bond market
'Bold' ECB cuts rates as low inflation settles in
Mario Draghi surprises markets by announcing a cut in the main refi rate in face of falling inflation; opinion differs on whether this is the ECB's last throw of the dice
Bank of Slovenia lifts lid on bank health checks
The 10 banks under investigation will be subjected to asset quality reviews and bottom-up stress tests; results will be challenged by an outside consultancy
Krugman says ‘Greek-style’ crisis in US or UK would have ‘expansionary effect’
Economist extends Paul de Grauwe's point that countries borrowing in own currency are immune to self-fulfilling liquidity crises; says loss of investor confidence would raise output in large economies
Czech central bank starts targeting exchange rate
Czech National Bank finally says it will start intervening in the forex market, a year after it cut rates to the zero lower bound; Czech koruna almost hits target level straight after announcement
RBI tries to persuade foreign banks to put down roots
Revamped framework unveiled by India's central bank yesterday will make it easier for foreign lenders currently operating through branches to set up wholly owned subsidiaries in the country
Senior Fed staff consider further stimulus
Two of the Federal Reserve’s top economists have produced papers outlining the merits of ‘highly accommodative’ monetary policy, including a lower unemployment threshold
People: Barclays economist returns to BoE; Cleveland steps up search for Pianalto replacement
Bank of England hires Simon Hayes from Barclays to replace Robert Wood in charge of MPC economic forecasts, reporting to Spencer Dale; Cleveland Fed hires search firm to find new president
Fall in OECD inflation highlights advanced economy monetary policy dilemmas
New OECD figures show lower annual inflation rates despite Japanese CPI turning positive; pressure mounts on ECB and Fed to counteract trend, but analysts unsure with what tools
BoE and FDIC campaign for end to ‘early termination’ of derivatives contracts
International authorities want a ‘short-term suspension’ of the rights that allow derivatives contracts to be terminated ahead of schedule when a major financial institution is being resolved
Russians vote to choose new rouble symbol
Central Bank of Russia says more than 102,000 people voted in the first day of its online poll to choose a symbol to represent the nation's currency; voting is open until December 5
ECB faces parliamentary grilling on Troika track record
Senior managers from European Central Bank and European Commission defend the accountability and forecasting track record of the Troika in European Parliament hearing
Fed reaction function shift helped support recovery, research finds
NY Fed research finds markets viewed ‘calendar’ forward guidance as a more dovish approach to policy, supported by comments from FOMC members; ECB and BoE both denied such a move in own guidance
Bank of England waging payment system war on three fronts
Chief cashier Chris Salmon says the central bank must contend with issues relating to cyber security, user access and new regulation within the UK payments infrastructure
Fed’s Powell downplays QE impact on emerging markets
Governor admits Fed policy has played a part in capital flows to and from emerging markets, but argues other factors are more important; follows fresh complaints from Asian economies
BoE creates new role in response to cyber crime threats
Chief information security officer will oversee the Bank of England’s IT security defences; UK banks to be tested on their ability to withstand online attacks
Federal Reserve reveals new, tougher stress tests
Details of stress tests for 2014 include scenario based on severe global recession, with some banks facing additional criteria; tests will be applied to 12 more banks than before
BoE official calls for greater transparency on CCP margin modelling
Central counterparties should compete on quality of risk management, rather than a race to the bottom on margins, says Bank of England's head of payments and infrastructure
Cypriot commission criticises ‘cumbersome’ managerial structure at central bank
Independent commission wants to see more power handed to the executive and non-executive directors at the Central Bank of Cyprus; says senior management dropped the ball on financial stability
US Senator vows to block Yellen nomination
Republican Rand Paul - son of long-time Fed critic Ron Paul - says he intends to fight confirmation of Janet Yellen as the next Fed chair unless monetary policy is subjected to Congressional scrutiny
Asia Risk Congress: BIS points to Asian example as evidence new LCR not 'relaxed'
Asian regulators' partial recognition of Level 2B assets justifies revised Basel liquidity approach
Central bankers cannot fix Asia's economic woes, warn bank economists
Government-driven reform is urgently required to ensure continued development in Asia; India comes in for most criticism as market watchers turn attention to forthcoming plenary in Beijing