The Americas
External managers hired to set up new asset classes and train staff
Central banks also look to external managers to boost returns and access market intelligence
Tight monetary policy can scar economy, SF Fed research finds
Central banks may not be able to undo effects on productivity and potential output, paper says
Reserve managers cut duration as top inflation-proofing strategy
No respondent reports expansion into non-conventional assets
Boards responsible for benchmark approval at most central banks
Over half of lower-middle income respondents favour investment committee over other methods
Central banks’ average import coverage ratio falls further
Upper-middle income institutions tend to have a higher ratio
Inflation revisions are significant, finds NY Fed research
Understanding inflation in real time poses major difficulties, researchers say
Reserve management staff salaries increase by almost 6% from last year
Staff in Europe remain the best paid globally
Managers divided on sanctions effect on US dollar as reserve currency
Over 43% say it will weaken its status, but nearly 40% say it will not have meaningful long-term impact
Bank of Canada holds rates steady amid political pressure
Regional heads send letter to governor Macklem calling for an end to rate hikes
Almost all central banks run stress tests on lenders
Most respondents say they conduct tests more than once a year
Monetary policy impacts innovation, says research
Paper presented at Jackson Hole conference finds tightening can decrease R&D spending, cutting long-term growth
Housing markets worry high income countries’ central banks
Middle income countries point to inflation and cyber crime as sources of risk
Most central banks say cross-border cyber co-operation is good
Respondents from upper-middle income countries most likely to say co-operation could improve
BIS paper highlights costs and benefits of crypto regulation
Decision to regulate needs to be backed by data and clear frameworks, authors say
Most central banks report rise in cyber attacks
Majority say they co-operate well with other agencies on cyber risks
US wage expectations rising, says NY Fed labour market survey
Both lowest acceptable transitionary wage and expected salary hit series highs
Most central banks say AML/CFT co-operation is good
Small minority of institutions face problems working with domestic or foreign partner agencies
High income countries’ central banks more likely to say AML/CFT risks are rising
Majority of institutions from middle income countries say money laundering risks have not risen
Dallas Fed finds emerging markets insulated against US rate rises
Proactive rate rises, transparency and accumulated FX reserves helped shield economies
Central banks in high income countries less likely to want NBFI reform
But many central banks in middle income nations want regulatory changes
Bank resolutions averaged 1.8 cases in last decade – central banks
Lower-middle income countries report higher mean number of resolutions
Some FOMC members sought pause in July, minutes show
Participants pointed to signs of loosening labour market and slowing consumption
Most central banks operate in jurisdictions with deposit guarantee schemes
Few operate their country’s DGS, and some are working to reform schemes’ design
Reserve requirements and countercyclical buffers are most common macro-pru tools
Dynamic provisioning and limits on credit growth are least-used measures