United States
Chicago Fed National Activity Index, February 2003
CFNAI Shows Economic Growth Slowed in February - In February, the Chicago Fed National Activity Index (CFNAI) fell below zero again after briefly turning positive in January. The monthly index came in at -0.62 in February, following January's upward…
Guynn on the U.S. Economy: Where Are We Now?
In a speech on 'The U.S. Economy: Where Are We Now?' Jack Guynn of the Federal Reserve Bank of Atlanta said once we move beyond the uncertainty of war, the economy is poised for a pretty solid recovery. This time next year, he said, the recovery will be…
St Louis Fed Central Banker, Spring 2003
The Spring 2003 edition of the St. Louis Fed's Central Banker magazine has been published. The issue carries a report on the regional partnership being set up by the Cleveland and St.Louis Fed banks. There is also a feature on the condition of the…
Bush meets Fed chief to indicate priorities
Fed chairman Alan Greenspan met with George Bush earlier this week to brief the US president on the state of the US economy, according to a report in the Financial Post. The meeting came as Mr Bush prepared to ask Congress for at least US$70-billion to…
Bernanke - Perspective on inflation targeting
In a speech on 'A Perspective on Inflation Targeting' Ben Bernanke of the Federal Reserve said adoption of an explicit inflation goal was in his view the best way for the Fed to achieve its goals of stable prices and maximum sustainable growth. He added,…
Economic Consequences of The Iraq War
In this article David Hale looks at the economic consequences of the war in Iraq. He says that although markets will rally on positive news of the conflict, in the longer term how the US deals with large fiscal deficits and unprecedented current account…
Kohn on inflation targeting in the US
In a speech on 'Comments on Marvin Goodfriend's "Inflation Targeting in the United States?"' Donald Kohn of the Federal Reserve said the Fed has not engaged in implicit inflation-targeting by saying it supports "long-run price stability". He also said…
Philadelphia Fed Business Outlook Survey, Mar 2003
Activity in the region's manufacturing sector weakened in March, according to firms surveyed for March's Business Outlook Survey. This represents a deterioration from the basically flat performance in February. Indexes for general activity and new orders…
Bernanke advocates more Fed transparency
Ben Bernanke said in a speech on Tuesday 25 March that the Federal Reserve could benefit from setting an inflation target. An explicit inflation goal was in his view the best way for the Fed to achieve stable prices.
Fed's Kohn: No need for Fed to target inflation
In apparent contrast to Ben Bernanke's comments Donald Kohn said in a speech released Monday March 24 and reported by Reuters that he was sceptical that for the United States the potential benefits of changing to a regime of inflation targeting would…
Fed's Guynn: Uncertainty a barrier to recovery
Atlanta Fed chief Jack Guynn said on Monday 24 that uncertainty over the war in Iraq, terrorism and oil prices would hinder recovery but that he expects a modest upturn in the economy later this year, according to a Dow Jones report.
Federal Reserve hold rates steady amid uncertainty
Federal Reserve FOMC held rates steady at the meeting on Tuesday March 18. The Committee said in a press release that the hesitancy of economic expansion owes much to geopolitical uncertainties.
Interest rates unchanged as Fed awaits war
The Federal Reserve held interest rates steady on Tuesday March 19 in a unanimous vote but left open the possibility of a cut if the economy suddenly worsened, according to a report by Associated Press.
Fed building part-closed after 'explosives' threat
Tuesday's FOMC meeting, March 19, did not go without a hitch CentralBankNet learns. A report from Reuters said that a man described as a "disgruntled tobacco farmer" claiming to be carrying explosives forced the closure of part of the Federal Reserve…
Plenty monetary policy measures in reserve
Central banks have plenty of monetary policy ammunition left, says Stephen Cecchetti in the Financial Times. Even when rates hit zero central banks can make use of "contingency plans" involving unorthodox monetary operations.
Fed should hold
The uncertainty over the impending war in Iraq and the Fed's diminishing policy options mean that, despite weak data, a wait-and-see is the strategy for the open market committee, which meets tomorrow, argues the FT's editorial.
Split over Iraq may hit new Basel bank rules
A report in the Financial Times suggests the new Basel 2 rules update may suffer damage from the transatlantic war split and signs exist of a loss of patience with the long drawn out discussions. The result could be a degrading of the accord, the report…
Kansas City Fed's Hoenig:Community banks important
Kansas Fed President Thomas Hoenig said on Friday March 14 that community banks are important to the financial system by specializing in relationship banking and providing credit to small businesses, according to a report by Reuters.
Richmond Fed top discount-rate hawk
Recent analysis of FOMC voting between 1993 and 2002 has shown that the Richmond Fed is the most hawkish of the regional Fed banks whilst the Dallas Fed was the greatest dove, according to a Reuters report. The research also showed that recommendations…
Ex-governor Rivlin says Fed is out of ammunition
Ex Federal Reserve governor Alice Rivlin has said that the central bank is out of ammunition and that fiscal policy makers are better placed now to step in, if the US economy declines further, according to a Dow Jones report.
Greenspan on Global Finance, Is it slowing?
SPEECH - In the speech 'Global Finance: Is It Slowing?' Alan Greenspan of the Federal Reserve said a diversified and innovative global financial system has helped the U.S. economy weather a string of jolts and that despite terrorist attacks and fears…
Fed's Gramlich: Iraq impact 'imponderable'
Ed Gramlich of the Federal Reserve said on Thursday that a conflict with Iraq would have consequences for the US and world economy but that the effects were impossible to predict.
Kohn testimony on Business Checking Freedom Act
SPEECH - The Fed backs paying interest on checking accounts, Fed Governor Donald Kohn said in testimony before Congress on 6 March. "Unnecessary restrictions on the payment of interest on demand deposits at depository institutions and on balances held at…
Parry on prospects for local and national economy
SPEECH - In the speech 'Prospects for the National and Local Economies: A Monetary Policymaker's View' Robert Parry of the Federal Reserve Bank of San Francisco said "If it were called for we still have room to give a boost to the economy, even in the…