News
BIS must fix data gaps: Bank paper
Bank of England paper identifies specific information gaps in cross-border banking statistics published by Bank for International Settlements; improvements thought to be under way
Argentina’s Marcó del Pont nominated for full term
Argentine President nominates central bank governor Mercedes Marcó del Pont for full six-year term, even as inflation soars and currency value drops; deputy, board members also nominated
Reform missed chance to fix mortgage markets: Volcker
Former Federal Reserve chairman Paul Volcker says US mortgage markets are dysfunctional due to reliance on government; renminbi appreciation in China’s own interest
US to launch financial stability council next week
Financial Stability Oversight Council to hold first meeting on 1 October
Bank of Russia wants to scrap kopek coin
Russian central bank proposes that one and five kopek coins be abolished due to high metal prices and low demand
Prop trading restrictions already hurting liquidity, say investors
Restrictions on bank proprietary trading have caused liquidity to fall in both the cash and derivatives markets, forcing buy-side participants to adopt alternative investment strategies
Investors demand premium for Portuguese debt
Auction results show rising cost of Portuguese debt, analysts say investors are sending message to government to tackle deficit
Bank’s Bailey places public at heart of stability remit
Bank of England’s Andrew Bailey says public acceptance of stability goal necessary to stave off future crises
Summers quits Obama’s economic team
Chief adviser to President Obama, Lawrence Summers, announces departure from National Economic Council at end of year
Analysts applaud passage of ESRB, fret over practical concerns
Commentators praise the concept of a continent-wide systemic risk supervisor but say politics and lack of policy clarity could thwart good intentions
Ireland’s debt costs soar
Auction results show demand for Irish debt remains strong, but analysts fear higher financing costs are unsustainable
RBA appoints new head of economic research
Reserve Bank of Australia promotes deputy head of domestic markets Jonathan Kearns to head of economic research
Ex-Brazil deputy to head hedge fund’s Latin American office
Former Central Bank of Brazil deputy governor Mário Mesquita will head Latin American office of UK hedge fund Brevan Howard
Money market rate best policy target: BIS research
Bank for International Settlements research finds lower macroeconomic volatility where central banks use money market rather than repo rate as policy target
Rajan, Krugman renew spat
Ex-IMF chief economist Raghuram Rajan and Nobel laureate Paul Krugman revive clash over central banks' role in the crisis
Banks forgot their wider social duties: HSBC's Green
HSBC chairman and new UK trade minister Stephen Green says banks must reexamine their contract with shareholders and society; sustainability central part of shareholder value
EMEs deserve bigger role in reform debate: DIFC, CIC officials
Dubai International Financial Centre's Nasser Saidi and China Investment Corporation's Jin Liqun say emerging markets' prominence set to endure, mandating bigger voice in regulatory reform process
EU bailout vehicle nets top credit rating
European Financial Stability Facility secures triple A rating
Honohan suggests Irish deficit forecasts unrealistic
Ahead of bond auction, Central Bank of Ireland governor says higher refinancing costs and less-favourable-than-forecast conditions could stymie deficit reduction; “welcome relief” on Anglo
Posen: Bank’s next step should be ‘heavy duty’ credit easing
Bank of England’s Posen suggests different tack if UK’s recovery remains anaemic
UK Treasury tables insolvency plans for investment banks
Treasury says Lehman Brothers’ failure showed strong case for introducing special administration regime for investment banks
Beijing makes two changes to MPC
People’s Bank of China deputy governor Du Jinfu and Industrial and Commercial Bank of China president Jiang Jianqing will join advisory Monetary Policy Committee
Beijing looks to further internationalise renminbi
People’s Bank of China says it must work to match growing demand for renminbi outside of mainland; sets out further steps including opening domestic market to international institutions
Shirakawa rights wrongs of ‘lost decade’
Bank of Japan governor challenges barbs over economy’s, and central bank’s, performance over recent decades; calls for “deeper understanding” of liquidity and counterparty risk