Central Banking
QE crystallised doubts surrounding dollar: US subcommittee speaker
US lawmakers and members of subcommittee on domestic monetary policy say Federal Reserve’s quantitative easing programme has reduced faith in dollar
It is the supervision of the banks, not their structure, that is most important
A separation between retail and investment banking would in itself do nothing to correct bad management practices and would quite possibly fail in its aim to protect the public purse, Roger Alford argues.
UK inflation expectations rise
Bank of England survey on public attitudes to inflation show rise in inflation expectations
ECB opines on how euro crisis facility should work
European Central Bank proposes IMF involvement in order to ensure facility does not promote moral hazard
An overemphasis on risk models was the key flaw in the regulatory architecture
Risk models are useful for banks’ risk managers, but regulators should beware, Brandon Davies notes
Moody’s Portugal downgrade sparks further speculation of bailout
Moody’s cuts Portugal’s credit rating by two notches to A3 on weaker growth prospects; analyst says bailout expected in coming months
Ireland unveils stress test scenarios
Central Bank of Ireland outlines macroeconomic scenarios for stress test exercise on four banks; results set to be published at end of month
S&P unconvinced by resolution regimes
Rating agency says sovereigns will continue to bail out banks
Ireland’s Honohan pledges to avoid fire sales
Central Bank of Ireland governor Patrick Honohan says country can no longer afford fire-sale losses on non-core bank assets
Fiji’s Whiteside on microfinance challenges
Reserve Bank of Fiji governor Barry Whiteside says poor infrastructure presented challenges in extending financial services into the rural areas
Turkey’s Yilmaz on central banks’ enhanced stability mandates
Central Bank of Turkey governor Durmuş Yilmaz says centralising power for safeguarding stability at central banks places too great a burden on unelected officials
Creditless recoveries not uncommon: IMF paper
Fund study finds creditless recoveries are common and may result from impaired financial intermediation
Zimbabwe told to look to commercial banks for US coin supplies
Contrary to local media reports, Federal Reserve has not made formal arrangement with Harare
BoJ forecasts widespread production declines following earthquake
Report of Recent Economic and Financial Developments says domestic production expected to decline in earthquake aftermath
Crisis reshaping Australian bond market: RBA’s Debelle
Reserve Bank of Australia assistant governor Guy Debelle says regulatory reforms to change Australia’s bond market structure
ECB paper on EMU governance reforms
European Central Bank study says Van Rompuy Task Force proposals are essential to euro area governance framework
RBA minutes: rates on hold as temporary inflation effects dissipate
Minutes of RBA rate-setting meeting says inflationary effects of extreme weather conditions only short term; renewed focus on global inflation risks of higher oil prices
RBI group recommends switch to one-policy rate
Reserve Bank of India group on operating procedure of monetary policy says moving to one rate would be in line with global best practice
Lawmakers grill BoE’s court over stability mandate
UK Treasury Committee query whether Bank of England’s Court of Directors is up to the task of monitoring the activities of the Financial Policy Committee
US, Japanese regulators investigating UBS over Libor submissions
Swiss bank says subpoenas have been received from three US regulators
BoE governing body member 'uncomfortable' with King fiscal comments
Bank of England’s Court of Directors member and head of Trades Union Congress Brendan Barber says he is uncomfortable about comments made by governor Mervyn King on fiscal policy
Ex-Brazil governor to head Olympic authority
Former Central Bank of Brazil chief Henrique Meirelles tasked with managing preparations for 2016 games, to be held in Rio
Italy’s Draghi warns of expansion in mafia activity
Bank of Italy governor Mario Draghi says presence of mafia organisations in Italy is growing as it looks to take advantage of weakened economy
Buba’s Weber says negative growth effects of Basel III unfounded
Bundesbank president Axel Weber says higher Basel III capital requirements will have positive long-term implications on growth