Inflation

Bond yields tighten on rate fears

The world's leading bond markets continued to tighten on 13 June, with benchmark yields reaching multi-year highs as the market responds to the threat of rising interest rates from central banks around the world.

Bank of Lithuania - Annual Report 2006

Lithuania's chance of joining the euro will be after 2010, the governor of the central bank candidly admits in the annual report for 2006.

SARB raises rates as inflation soars

The South African Reserve Bank raised the key repo interest rate by 50 basis points to 9.5% on 7 June, after inflation surged through the upper band of the central bank's 3% to 6% target range in April.

Australia keeps rate at six-year high

Glenn Stevens, Governor of the Reserve Bank of Australia, announced on 6 June that the central bank would keep its benchmark interest rate unchanged for the sixth meeting in succession. Rates remain unchanged at a six-year high of 6.25%.

Bank Indonesia more bullish

Bank Indonesia, the country's central bank, has upgraded its national economic growth forecast for this year from 6% to 6.2%. The latest inflation figures are also better than those forecast by the central bank.

Risks rising for emerging markets - RBI's Reddy

Y.V. Reddy, the governor of the Reserve Bank of India, has warned that new financial market players and instruments, as well as greater market integration, mean that the risk of contagion to emerging economies may have grown.

Inflation expectations contained - Turkey's Yilmaz

Speaking at a conference celebrating the 75th anniversary of the Central Bank of the Republic of Turkey, governor Durmus Yilmaz said the central "strong reaction" to financial turmoil in 2006 "have contained inflation expectations" and that these will …

Russian central bank predicts fall in inflation

The first deputy chairman of the Russian central bank, Alexei Ulyukayev, said on 4 June that the country's inflation is likely to fall to 5.2% for the first six months of this year, one percentage point down on the same period in 2006.

Spain's Ordoez: immigration keeps inflation low

Miguel Ordoez, the governor of the Bank of Spain, said that immigration into Spain has helped keep inflation rates relatively low, in a speech at a symposium on the Phillips curve and the natural rate hypothesis in Kiel, Germany on 3 June.

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