European Central Bank (ECB)
Lagarde declines to give date for taper
Austrian governor immediately contradicts ECB chief, suggesting divisions on council
Spanish governor favours green monetary policy
Hernández de Cos stresses ECB should account for climate risks in its price stability mandate
ECB maintains high rate of bond purchases
Lagarde says eurozone inflation likely to rise in autumn but fall at start of 2022
Central bank profits under pressure
The structure of a central bank’s portfolio and its relationship with shareholders can affect shock-absorbing capital and the amount of profit distributed
ECB poised to clarify tapering of PEPP purchases
Analysts agree central bank views higher inflation as transitory and will maintain rate of purchases
Eurozone ‘high-yield’ firms face bond market squeeze – ECB paper
ECB could loosen conditions for buying bonds for firms hit by pandemic, economist says
NGFS unveils second set of climate change scenarios
New scenarios use NiGEM macro model and take much more granular approach, officials say
Sizing the benefits and risks of our climate ambition
Fixing climate change is likely to entail substantial risks, new NGFS scenarios show. Firms and supervisors must seize this opportunity to adapt, write Sarah Breeden and Frank Elderson
Powell, Lagarde and Yi call for urgent action on climate change
Lagarde says asset taxonomy is needed soon while Yi says G20 must create disclosure standard
ECB policy paper says unconventional policy worked
Paper says QE purchases explain “lion’s share” of changes to eurozone yield curves
Central banks face legal risk over climate – ECB’s Elderson
NGOs could sue central banks for failure to take suitable action over climate change, says NGFS chair
Weidmann drops opposition to ‘greening’ ECB bond holdings
Bundesbank president says ECB could limit purchases of corporate bonds from some sectors
EU common debt to boost euro’s international role – ECB
Currency still faces negative rates, fragmented debt market and lack of triple-A assets
‘Run it hot’: the risks and rewards of a new policy era
Covid-19 has added impetus to an emerging intellectual shift in policy-making. But central banks face unresolved issues – on expectations, on fiscal policy, and on the capacity of the economy to ‘run hot’
Eurozone inflation reaches target for first time since 2018
Early estimates suggest HICP inflation hit 2% in May
ECB should adopt symmetric 2% target with AIT – US economist
Academics and former officials say ECB’s new policy framework needs to be nimble to react more quickly to inflation changes
Time series models need adapting for Covid-19 shock – ECB paper
Authors explain methods for making Phillips curves and VAR models more robust
Number of women in financial services is ‘pathetic’ – IMF’s Georgieva
IMF and ECB heads say central banks must increase their representation of women
Energy prices boost eurozone inflation in April
Consumer price index increased year on year by 1.6%, as energy prices increased by 10%
Eurozone starting to see ‘light at the end of the tunnel’ – de Guindos
ECB’s ‘Financial stability review’ highlights pandemic’s uneven effect across countries and sectors
ECB paper offers model of interbank contagion
Researchers say policymakers can use their work to prevent and manage financial crises
Book notes: Quantitative easing, by Jonathan Ashworth
Well-documented and fairly comprehensive book for anyone, including central bankers, wanting an overview of how monetary policy has evolved in recent decades
German court dismisses challenge to ECB bond-buying
Constitutional court ends long-running challenge to asset purchase programme
Policymakers should consider adjusting ECB’s target – BdF paper
Lower eurozone r* points to adjustment of monetary policy strategy, researchers find