United States
Powell: US economy still ‘a long way’ from meeting Fed goals
Fed chair predicts continued need for low interest rates and QE, as recovery remains “uneven and far from complete”
Stablecoin issuer agrees to settle lawsuit over ‘deceptive’ trading practices
New York attorney general accuses Tether of lying about the backing of its crypto asset with US dollars
US regulators issue emergency guidance on Texas storms
Joint statement addresses disruptions caused by last week’s snowfall
People: Former Bank of Tanzania governor dies
Fed appoints chief innovation officer; World Bank names new head of International Finance Corporation; and more
Kenneth Montgomery on the Fed’s progress with instant payments
The FedNow project leader speaks about Covid-19 payment behaviours, a new liquidity management tool and what it will take to achieve ubiquitous instant payments in the US
IMF chief economist has ‘no concerns’ over inflation in US
Biden plan likely to cause 2.25% inflation, within Fed’s framework, Gopinath says
Fed extends reach of netting rule
Amendment extends regulation’s scope to BIS and foreign central banks
Brainard sets out Fed’s approach to climate risk
Fed board member sets out agenda similar to that of other major central banks
Fed’s Bowman discusses changes to antitrust law
Board member wants competition policy to take better account of smaller banks
People: IMF finance department director to retire
Third new board member at Colombia central bank; Nigeria appoints deposit insurance head; and more
Virus impacts consumer credit more than restrictions – Fed paper
“Pandemic itself” was main driver of credit contraction in US, not lockdowns, paper finds
Green finance: new initiatives in China, Europe and Americas
Eurosystem adopts common investment principles; China pushes climate modelling; and more
Paper finds little evidence of long-term scarring
Richmond Fed research finds short-term demand shocks rarely create hysteresis
Fed’s 2021 stress test includes major asset price shock
CCAR will evaluate 19 largest banks; scenario includes 55% fall in equity prices
Largest banks’ funding advantages grew in pandemic – research
Biggest banks’ perceived risk advantage grew after onset of Covid-19, researcher finds
Book notes: The political economy of the special relationship, by Jeremy Green
Unsatisfactory story about the decline and resurgence of the UK’s importance in the global financial system
Central banks look to shockproof models in wake of Covid-19
The Covid-19 crisis caused many central bank models to break down. Economists at the St Louis Fed, Bank of Spain and ECB were quick to innovate and say they will continue testing new tools
Frequent recessions push up US unemployment rate – paper
Cleveland Fed research says two decades of growth would produce 3.6% unemployment
ECB paper analyses US home ownership
Labour market dynamics and rising house prices account for generational inequality, researcher says
New York Fed’s markets chief leaves for White House job
Singh will hold joint security and economics position; Baum becomes acting head of markets
Fed small business survey paints grim picture
Most small businesses report revenue declines; many fear collapse without government aid
People: new vice-governors in Burundi and the UAE
Plus appointments at the CFTC and Caribbean Development Bank
One-size-fits-all regulation won’t meet fintech challenge – FSI paper
Banks and big tech require specific approaches to ensure system stability, says Fernando Restoy
Final NSFR rule unlocks subsidiary funding for US banks
Technical clarification allows subsidiary capital to be assigned as funding for consolidated group