Interest rates
Kenya reverses rate decision
Central Bank of Kenya reverses earlier rate increase on overnight discount rate but imposes restrictions on its discount window; analysts say measures amount to tightening in monetary policy
Standard monetary policy rules don’t apply in liquidity traps: Dallas Fed
Dallas Federal Reserve study shows monetary policy should be complemented with fiscal policy in order to shift aggregate demand out of a liquidity trap
Costs to bank funding not fully passed on to markets: Norges Bank paper
Norges Bank study finds evidence of incomplete pass-through of banks’ funding costs on deposit rates in Norway
"Hawkish" Riksbank raises repo rate
Riksbank raises repo rate by 25 basis points amid growing inflationary pressures in Sweden; central bank does not alter future repo path to analysts' surprise
Dissenter calls for rate hike: Iceland minutes
Central Bank of Iceland Monetary Policy Committee minutes show one member called for a 25-basis point rate hike
Tucker hints at shifting BoE attitudes and policies
Paul Tucker, deputy governor at the Bank of England hints he might vote to raise interest rates; calls for new “social contract” with banks
Kenya overnight lending rate leaps in unscheduled move
Overnight lending rate raised to 8%, 175 basis points above the benchmark central bank rate
Carney cautious over Canadian housing market boom
Bank of Canada governor Mark Carney warns of vulnerabilities in Canadian housing sector
RBA’s Stevens hints at rate hike
Reserve Bank of Australia governor Glenn Stevens signals resumption of monetary policy tightening
ECB’s Stark warns of low interest rate curse
European Central Bank executive board member Jürgen Stark says central banks should avoid looking at short-term consequences of monetary policy
ECB study measures impact of corridor width on monetary policy
European Central Bank paper shows width of standing facility corridor has significant impact on volatility of short-term interest rate
BoE, ECB hold their fire
Bank of England and European Central Bank leave rates unchanged; Trichet speech hints at impending hike
Prudential rules ease procyclicality of bank lending: IMF paper
Fund study says rules to lower capital adequacy ratios offer relief to banks and distressed borrowers facing shocks
Interest rate less volatile with more transparency: NY Fed paper
New York Federal Reserve study says greater central bank transparency reduces interest rate volatility
Vote to inject further QE defeated: BoJ minutes
Bank of Japan minutes show measure to raise asset purchases by ¥5 trillion was voted down by majority
ECB’s Bini Smaghi warns of maturity mismatch from low interest rate environment
European Central Bank executive board member Lorenzo Bini Smaghi says low short-term interest rates risk are leading to over-leveraging in shadow banking
Bankruptcy does not exclude consumers from credit markets: Fed paper
Federal Reserve study finds evidence that bankruptcy filers are not excluded from unsecured credit markets but usually pay a higher premium for finance
Fed minutes reveal split over exit strategy
Minutes from Federal Open Market Committee meeting show division among ranks over monetary policy exit strategy
Interest rates can only dampen systemic risk: Norway’s Olsen
Norges Bank governor Øystein Olsen says interest rate rise could have dampening effect on build-up of systemic risks but price stability remains primary objective
Namibia introduces interbank lending rates
Bank of Nambia launches the country’s first-ever official short-term interbank lending rates; gives full endorsement and encourages further developments
Israel acts to avoid housing crisis
Israel introduces rules limiting amount of mortgage that can be linked to variable rate
Iceland minutes shows dissent from MPC member
Central Bank of Iceland Monetary Policy Committee minutes says one dissenter voted to raise rates by 25 basis points amid growing inflationary pressures
Trichet signals no change in June as ECB holds
Rates likely to remain on hold until third quarter
Bank of England keep rates at record low
Bank holds for fourteenth month in a row