Risk
China’s growth model may deepen tensions with US – paper
PIIE research says economic policies driven by ‘national security logic’ may be contradictory
High debt raises ‘macro-financial’ risks in Americas – BIS study
Bulletin says interest costs can result in risk premia feeding into inflation expectations
Over 90% of Japan’s financial institutions use GenAI – BoJ
Most tell central bank survey that technology is usable but needs improvement in all areas
BoE backs away from mandatory gilt clearing
Discussions with industry shift to portfolio-based repo haircuts and ways to encourage voluntary clearing
Jamaica and Uruguay hold rates
Central banks cite deteriorating geopolitical tensions and extreme weather as upside inflation risks
Warsh called for fewer FOMC meetings in July
Minutes show committee agreeing on above-target inflation but disagreeing over AI’s effect on prices
Reconsidering the role of money in monetary policy
Euro policy architect Otmar Issing argues that central banks must improve their flawed inflation targeting frameworks
Europe’s stability at risk if AI bubble bursts – ECB blog
Correction could freeze functioning of continent’s financial markets, say central bank economists
Brazil’s central bank shuts down two lenders
Move comes amid broader clean-up of country’s weakest financial institutions
ECB finds gaps in geopolitical stress-testing frameworks
Current methods fail to properly capture impact of geopolitical stress on liquidity
Strong recovery in US treasury purchases is ‘unlikely’ – paper
Central banks’ demand for US government bonds has ‘plateaued’ as reserve managers diversify
Argentina eases bank dollar lending to companies
Authorities roll back post-2001 guardrails in effort to boost credit and economic growth
Peru holds rates for eleventh time in a row
BCRP highlights risk of escalating conflict in Middle East and more severe El Niño on inflation
ECB succession race: Netherlands throws weight behind Knot
Former DNB governor receives official backing
New York and Dallas Feds to launch private credit survey
Firms with over $50 million invited to discuss lending standards and monetary policy implications
Anchoring expectations ‘critical’ in energy shock – BIS researchers
Most significant shock since the 90s Gulf crisis “may warrant hiking rates more quickly”
Basis trade loses its bite as banks move in
Returns on popular hedge fund strategy dwindle to as little as three basis points, while dealers make use of softened capital rules to replicate the trade
BoE’s crisis lending plan hits buffers
Scepticism greets regulator’s proposal to increase releasable leverage capital buffers
South Korea to resume gold buying and may vault domestically
BoK’s reserves head cites geopolitical risks as motivator for institutional gold purchasing
LLMs can analyse news articles to spot stability risks – ECB study
Authors use AI to find trigger events in dataset of over 1 million stories
Mampho Modise on payments reforms and the hierarchy of money
Sarb's deputy governor discusses conflicting crypto directives, wholesale CBDC plans, expensive remittance and a Brics gold-backed settlement unit
BoJ holds as yen and won both rise on suspected interventions
Japan’s central bank more hawkish than at previous meetings as it keeps rates at 1%
Supervision Benchmarks 2026 – model banks analysis
Additional data breakdowns shed light on differences between advanced and emerging economies
Monetary policy missteps more likely amid AI boom – BIS study
Authors warn uncertainty over new technology leaves traditional benchmarks vulnerable