Inflation
Colombia surprises markets and slows easing cycle
Quarter point cut a “strong message” of independence by central bank, analysts say
BoJ holds rates, completes broad monetary policy review
Governor admits bank has been slow to raise rates, but highlights need to assess wage data and US policy
Sweden makes further cuts, but Norway continues to hold
Riksbank reduces rates by 25bp, but Norges Bank maintains more hawkish approach
BoE holds rates as UK inflation hits eight-month high
Decision closer than expected as members unsure about implications of government budget
CNB’s Aleš Michl on tackling inflation, Friedman’s legacy and ditching DSGE
The Czech governor speaks about policy mistakes, targeting M2, diversifying into equities and gold, building new models and ending interest payments on minimum reserves
Federal Reserve cuts rates by 25bp
Powell says effects of Trump’s proposed policies, including tariffs, remain unclear
Central banks need to foster trust – ECB report
Instilling public confidence helps in achieving policy objectives and maintaining independence
Bank Indonesia holds rates after HQ raided over graft probe
Benchmark rate stays at 6% two days after offices searched over alleged misuse of CSR funds
The BoJ’s path to policy normalisation
Will the Bank of Japan be able to normalise monetary policy following its successful exit from negative rates?
BoK vows to stabilise markets with ‘all available tools’
Central bank calls for bipartisan policy co-ordination following president’s impeachment
Peru holds policy rate at 5%
Central bank stays put as inflation accelerates and rate almost reaches same level as the Fed’s
‘Inflation disagreement’ weakens US monetary policy – Fed study
Households’ inflation expectations differ from central bankers’, thus adding to post-Covid momentum
ECB cuts rates by 25bp
Eurosystem disinflation “well on track” and council “did not discuss” TPI, says Lagarde
Brazil raises rates again amid fiscal woes
Central bank tightens policy by 100bp in unanimous decision as inflation continues to overshoot
Phillips curve is convex in short term – NBER paper
Data on US and UK shows firms respond more to positive than negative demand shocks
US inflation expectations tick up across all time horizons
NY Fed survey finds more respondents expect prices to rise over one- three- and five-year timeframes
Reserve Bank of Australia holds policy rate again
Central bank softens hawkish stance amid weak economic growth and slowing inflation
China’s inflation drops to five-month low, despite stimulus
Some analysts expect PBoC to deliver further cuts in rates and RRRs by end of 2025
Reserve Bank of India holds policy rate
Governor says decision reflected need to tackle high inflation without stymying “resilient” growth
Central banking amid uncertainty and Trump 2.0
Deglobalisation set to challenge the central banking orthodoxy of the past 40 years
Inflation targeting regime needs reform – BIS paper
Authorities should recognise what monetary policy can and cannot do, argues Claudio Borio