Monetary policy
Mexican board members concerned by inflation, minutes show
Bank of Mexico board held rates at 4% in spite of 6.1% year-on-year inflation in April
RBI faces dilemma from US policy spillovers – BIS paper
Authors highlight evidence of “contractionary devaluation” when US monetary policy tightens
Fed’s Quarles says time is coming for taper talk
St Louis Fed’s Bullard says it is “too early” to talk of tapering asset purchases
A return of the inflation monster?
There are fears that a shift in intellectual approach towards running economies ‘hot’ could herald a return of the money-eating inflation era
People: Erdoğan fires deputy governor
South Korea appoints new sovereign wealth fund chief; Fed lawyer moves to OCC; and more
Benoît Cœuré on CBDCs, stablecoins and central bank fintech co-operation
BIS Innovation Hub chief voices concerns about the timing of stablecoin and CBDC roll-outs, fintech risks for supervisors and monetary policy, and details development plans for eight innovation locations
Mexican president says he will not renew governor’s mandate
President questioned why central bank could not transfer executive 2020 operational profits
Reserve management in China: foreign reserves, renminbi internationalisation and beyond
Hui Feng explores how China has managed its reserves over the past decade, detailing the dynamics of the PBoC's investment strategy and how reserve management has impacted monetary policy
Summers steps up attacks on Fed inflation stance
Inflation hawk warns of “complacency” after April CPI hike, but FOMC members have stood firm
Icelandic central bank hikes rate as inflation climbs
Central bank faces trade-off as unemployment remains high
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
Policymakers should consider adjusting ECB’s target – BdF paper
Lower eurozone r* points to adjustment of monetary policy strategy, researchers find
Don’t dismiss inflation risks but don’t overreact, say central bankers
Sbordone, Smets and Vlieghe weigh up challenges for central banks in the “return towards normal”
BoE paper explores liquidity traps with ‘Hank’ model
Precautionary savings can send economy into deflationary spiral, authors find
NY Fed updates Treasuries purchasing programme
New York Fed changes maturity ranges and sector weights of bond purchases
Bank of Mexico holds rates despite above-target inflation
Central bank keeps policy rate at 4% as inflation rose year on year by 6.1% in April
Fed leaders hold dovish line as CPI surges
Board members and regional presidents say inflation and employment goals still far from met
BoE paper highlights link between mortgage limits and consumption
Authors find “new link” between down payment requirements and household consumption
Central banks have limited tools to tackle inequality – Carstens
Inequality is an issue for central bankers, but they cannot solve it on their own, says BIS chief
Fed’s Bostic says economic inclusion goals shape policy
Atlanta Fed president calls for more joint work with CFPB
Turkish central bank again holds rates despite rising prices
CBRT says it will hold policy rate at 19% until it sees significant fall in inflationary pressures
Fed clarifies account access rules for fintech firms
Proposals address growing number of firms seeking access to the central bank’s balance sheet
BoE forecasts 7.25% UK growth in 2021
Bailey warns downside risks to the outlook remain
Brazilian central bank hikes rates as inflation rises
Board says it is likely to announce another rate hike in June but says inflationary shocks are temporary