Monetary policy
BoE should hold rates until pressures have eased, Haskel says
Changes to labour market estimates helped shift policy decisions, MPC member says
Romania cuts rates by 25 basis points
Disinflation is accelerating but effects of energy legislation changes are uncertain, central bank says
PBoC to start additional open market operations
Move could increase importance of seven-day reverse repo rate, some analysts say
Turkish inflation falls for first time in eight months
Cooling prices could herald disinflation trend despite negative real rates
Malaysia’s Rasheed expects a “bumpy road” for EM currencies
Governor Abdul Rasheed Ghaffour says BNM will intervene if needed ahead of future Fed cut; rules out capital controls but has encouraged institutions to repatriate earnings
‘Selective memory’ helps explain expectation de-anchoring – paper
Authors build model around three “regularities of human recall”
Half of central banks use forecast errors to assess policy impact
Surveys of expectations widely used but surveys of trust and understanding are less common
Czech National Bank cuts rates by 50 basis points
Next step likely to be a 25bp cut or a halt to easing, says central bank
Turkey holds interest rate amid rising inflation
Disinflation will start in the second half of the year, CBRT says
Nearly 40% of central banks use targeted liquidity facilities
“Funding for lending” schemes remain widespread, though some have been wound down post-Covid
Philippine central bank holds rates and cuts inflation forecast
BSP governor signals possible August rate but refuses to comment on board member allegations
Half of central banks regularly review monetary framework
Vast majority conduct reviews but many are ad hoc
Morocco cuts interest rates after a year of holding
Inflation now below 1% due to lower food prices and tighter monetary policy
Most asset purchase programmes are winding down
Around a quarter of respondents have open APPs but most are shrinking
Monetary policy-makers should track bubbles – Dallas Fed paper
Economists warn of possible ‘explosive bubbles’ and evaporating wealth
IMF releases $1.1bn to Bangladesh
Fund calls for tight policy to bring down inflation
BIS predicts AI will be inflationary in long term
Expects accelerated inflation dynamics as firms adjust prices in response to shocks
Over 25% of central banks pre-brief government on policy decisions
Briefing patterns differ across institutions, as two central banks start practice
Laotian central bank raises rates amid high inflation
Inflation in Laos has been above 20% due to weak local currency
One-third of central banks offer liquidity to non-banks
But most keep the list of counterparties strictly limited
Brazilian politicians launch legal action against Campos Neto
Allies of president escalate pressure on central bank as policy-makers opt to hold rates
SNB cuts rates by 25 basis points
Decrease prompted by sub-1% inflation forecast
SNB carries out first tokenised monetary policy operation
Central bank issued $72 million in bonds on DLT settled in wholesale CBDC
Bank of England holds rates as services inflation lingers
“We need to be sure that inflation will stay low,” governor Andrew Bailey says