News
Bernanke: Fed won’t rule out leaning against wind
Regulation should be “first line of defence” against bubbles, but FOMC is monitoring financial imbalances
Buba calls for Sarrazin to be sacked over racist comments
Bundesbank executive board votes unanimously in favour of removing Thilo Sarrazin; central bank takes firm line after Sarrazin’s anti-Semitic remarks spark outrage
Fed cannot bear full burden of job creation: Fisher, Plosser
Regional Federal Reserve presidents Richard Fisher and Charles Plosser say loosening monetary stance further will not cure unemployment ills; monetary policy no panacea for macroeconomic problems
Indonesia moots new rule to boost bank lending
Bank Indonesia to propose range of loan-to-deposit ratios to encourage lending; banks prefer to park deposits in money market due to perceived default risk
Rajan, Krugman clash over Fed policy
Ex-IMF chief economist Raghuram Rajan and Nobel laureate Paul Krugman lock horns over Federal Reserve’s loose monetary stance
FX market going global: BIS
Bank for International Settlements’ triennial survey of foreign exchange markets shows decline in prevalence of local transactions, dollar and sterling
Governors from five continents meet in Jackson Hole
Roster of attendees shows 41 central bank heads travelled to the wilds of Wyoming for Jackson Hole meet; number of Fed officials in attendance falls by a third
Afghan governor insists country’s biggest bank is solvent
Bank of Afghanistan governor Abdul Qadeer Fitrat refutes reports top officials at Kabul Bank have been fired due to corruption; stresses bank remains solvent as graft rumours threaten to spark run
Brown’s ex-spokesman denies Blair claim over Bank independence
Gordon Brown’s former spokesman Charlie Whelan says first Tony Blair knew about decision to grant Old Lady responsibility for setting rates was when Brown announced move after election
JP Morgan slashes commodity desks
Fate of other prop desks unclear ahead of enactment of Volcker Rule
Anti-Semitic remarks could end Sarrazin’s term at Buba
Bundesbank condemns executive board member Thilo Sarrazin for racist comments; will hold hearing before deciding on future
BoJ expands fixed-rate fund supply on growth, yen fears
Bank of Japan unveils six-month term to existing fixed-rate funds operation; facility to expand by $238 billion on fears of weak US growth, yen strength
Core principles mostly apply to micro lenders: Basel Committee
Basel Committee on Banking Supervision issues final report on applying core principles to microfinance providers; tweaks needed on credit risk, capital adequacy and risk management
Spanish debt office in negotiations on credit support annex thresholds
Government agency looks to alleviate funding costs for bank counterparties in swaps transactions
Focus on banks’ incentives must continue post-crisis: Bank’s Bean
Bank of England deputy governor Charles Bean says crisis focus on bank incentives must remain; financial market problems require macroprudential instruments
Bernanke dismisses higher inflation targets, unconvinced on conditional commitment
Federal Reserve chairman Ben Bernanke rejects higher inflation targets; says conditional rate commitment too risky, despite success in Canada
Too much expected of central banks: CentralBanking.com poll
CentralBanking.com poll shows more than 66% of readers think monetary authorities cannot be expected to boost growth and protect price stability
Basel Committee defends adjustments to Basel III as calibration decisions loom
Regulators describe difficulties ahead as they prepare for Basel III calibration and transition decisions in September
BoJ slashes bonuses and top officials’ pay
Bank of Japan shaved $2 billion off 2009 expenditure through salary and spending cuts, annual report shows; lower banknote costs and interest payments also contributed to savings
Peru nearly doubles reserve ratio on foreign deposits
Central Bank of Peru raises reserve requirement on foreign deposits to 120% in bid to stem capital inflows
Fed looks to take Bloomberg battle to Supreme Court
Federal Reserve asks appeals court for stay on ruling that will force it to reveal emergency lending details; central bank considering appeal to country’s highest court as last resort
Eurozone lending gathers steam: ECB
European Central Bank figures show growth of bank lending in single currency area increased in July; data follow signs of pickup in loan demand
New Basel proposals threaten bank sub debt, investors warn
Bond investors voice concerns over freedom given to national regulators to determine trigger events for conversions or haircuts
SNB appoints new media spokesman
Swiss National Bank names broadsheet economics deputy editor Walter Meier as new media spokesman; Meier to start in early 2011