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Inflation

Fed wary of inflation, preparing rate increase

According to this article published on Tuesday 4 October, Federal Reserve officials are on track to raise interest rates at their next meeting. Right now they are on the watch for any sign that expectations for future inflation are deteriorating, it says.

ECB's power over market inflation outlook queried

According to this article published on Friday 30 September, the European Central Bank may have less control over financial markets' inflation expectations than it thinks, despite its increased rhetoric about the importance of keeping them under control.

The ECB: Villain, or a savior of Europe?

According to this article published on Saturday 24 September, the challenges facing the European Central Bank are particularly acute, with the ECB under fire for refusing to deviate from its inflation-fighting mandate in order to stoke growth through…

Canada's Dodge on financial system efficiency

In the speech 'Financial system efficiency: Getting the regulatory framework right' given on 22 September David Dodge of the Bank of Canada said that the inflation rate can be expected to rise in coming months, thanks largely to high energy costs, which…

BOJ's Iwata repeats inflation target call

Bank of Japan deputy governor Kazumasa Iwata said Thursday 15 September that the central bank should adopt a specific inflation target to boost transparency in monetary policy and fend off excessive market speculation after its quantitative easing…

Chicago's Moskow on the US economic outlook

In the speech 'U.S. economic outlook' given on 24 August Michael Moskow of the Federal Reserve Bank of Chicago said the United States needs higher interest rates to keep inflation down as the job market tightens and energy prices remain high.

BoE's King on UK inflation

In a speech given on 27 August Mervyn King, governor of the Bank of England, said that inflation expectations in the UK may shift significantly even if the cause of the change in prices is due to temporary factors.

FOMC Minutes, 9 August

Minutes from the Federal Reserve's 9 August meeting published on Tuesday 30 August. Most Federal Reserve policymakers expressed concern that inflation risks had "ticked up" recently, with some worrying that price increases were already at the upper end…

Sweden leaves interest rate unchanged

The Swedish Riksbank kept the repo rate unchanged at 1.5% at its meeting on 23 August. CPI inflation remains low at 0.3% in the year to July, but it is expected to return to the target level of 2% over the next two years.

Fukui positive on economy, inflation

In a statement before a parliamentary committee on August 2, the governor of the Bank of Japan, Toshihiko Fukui, spoke of the country's improving economic situation and how the central bank's policies were adapting.

Fears over narrow inflation targets

Wolfgang Munchau criticises overemphasis on inflation targets in a column in the Financial Times. Inflation targets have done good work in bringing down inflation and inflation expectations, he says, but with that battle won, perhaps they are no longer…

Kansas Fed Paper on inflation targeters

The Kansas Fed Working Paper "Do we really know how inflation targeters set interest rates?" published July 2005 says under inflation targeting regimes other objectives that possibly conflict with the inflation goal are present.

Bank of England Inflation Report, August 2005

The Bank of England published its August 2005 Inflation Report on 10 August. In the report the Bank said the UK's growth outlook has weakened slightly in the near term, pulled down by sluggish consumer spending.

Doubts on Bank of England's forecasting

Nobody could say that Mervyn King, governor of the Bank of England, was defensive at yesterday's press conference on the latest Inflation Report (who has ever seen Mervyn on the defensive?), but he certainly knew he had some explaining to do.

COMMENT BY CENTRALBANKNET

The fear that demand in many leading economies has been sustained only by a housing and real estate "bubble" is often seen as one of the biggest risks facing monetary policymakers.

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