Interest rates

BoE voted 8-1 to hold rates

The Bank of England's policy-making Monetary Policy Committee voted 8-1 to keep UK interest rates unchanged this month, with Stephen Nickell again as the sole member calling for a reduction.

Fed can't rule out more rate rises

Minutes from the Federal Reserve's 31 January FOMC meeting released on Tuesday 21 February showed Fed officials felt a 14th straight increase in interest rates last month put borrowing costs near where they needed to be, but they could not rule out more…

Buba's Weber says inflation risks remain

Bundesbank president Axel Weber told a conference on Monday 20 February that inflation risks still exist in the eurozone and a forward-looking monetary policy is needed to counter these risks at an early stage.

Comment: Bernanke's debut

New Fed chairman, Ben Bernanke, provided little further insight into the likely further path of interest rates in the US on Wednesday. On the whole he painted a fairly rosy picture of the economy's health - both in a cyclical and structural sense. His…

PBOC rules out 2nd revaluation - reports

The People's Bank of China has ruled out a second revaluation of its currency, but plans broader reform of its interest rates, including a simplification of deposit rates, local media said on Wednesday 15 February.

'Greatest central banker ever' comes down a peg

This article published on Thursday 9 February looks at recent comments by ex Fed chief Alan Greenspan. It was his comments on the likely future course of interest rates that will tarnish his legacy as ``the greatest central banker who ever lived,'' it…

Chicago Fed's Moskow on the US economic outlook

In the speech 'US economic outlook' given on 9 February Michael Moskow of the Federal Reserve Bank of Chicago said U.S. interest rates are at a neutral level, but further increases - even preemptive ones - may be needed depending on how inflation…

Bank of Korea hikes rates again

The Bank of Korea raised its benchmark overnight call rate by 25 basis points at their monthly monetary policy meeting in Seoul yesterday. In doing so, governor Park Seung and his six fellow policymakers raised the overnight call rate to 4%.

BoE leaves rates unchanged

The Bank of England left interest rates unchanged at 4.5% following its two-day monetary policy meeting. The bank's Monetary Policy Committee (MPC) last cut rates in August 2005, when policy rates were reduced by 0.25%.

Australian rates unchanged

The Reserve Bank of Australia yesterday left the overnight cash rate at 5.5%, following its first interest rate meeting of the year. Australia is in the midst of its most stable economic period in three decades, with only one change in monetary policy in…

Indonesian rates on hold

The Central Bank of Indonesia yesterday left interest rates unchanged at 12.75% for a second month, as economic growth slowed down. Six interest rate increases since July have helped the rupiah recover from a four-year low on August 30 last year amid…

SARB's Mboweni highlights inflation risks

The South African Reserve Bank last week left the repurchase rate unchanged at 7%, but governor, Tito Mboweni, cautioning that robust domestic demand together with oil and food prices posed potential risks to the inflation outlook.

More hikes ahead - Sweden's Ingves

New Swedish central bank governor, Stefan Ingves, said on Monday 6 February that he expected a continued gradual increase in interest rates. The speech, given at Umea University, was Ingves' first public appearance since his appointment at the start of…

Greenspan goes out with final jab at inflation

The Federal Reserve's decision to increase interest rates again left open the possibility of another increase next month in a smooth handoff of the Fed policy baton from Greenspan to Ben Bernanke, this article published on Wednesday 1 February says.

Comment: Trichet's new strategy

Jean-Claude Trichet, president of the European Central Bank (ECB), on Thursday 2 February cemented expectations of a 25 basis point rate hike next month. The manner in which he has gone about flagging the move underlines the central bank's new…

Bond market bubble?

It is time to push beyond the "global savings glut" argument and the closely related "excess global liquidity" argument to explain the extraordinarily low level of both real and nominal long-term interest rates, according to this article published on…

Fed raises rates, drops 'measured' stance

The Federal Open Market Committee decided on Tuesday to raise its target for the federal funds rate by 25 basis points to 4-1/2 percent. In its statement the FOMC dropped "is likely" and replaced it with "may," regarding further policy firming.

Comment: Bernanke's options kept open

Subtle changes in the wording of the Fed's latest monetary policy statement leaves new chairman, Ben Bernanke, with more wiggle-room than may have been expected. Markets will become very sensitive to incoming data and will look to Bernanke's Capitol Hill…

Bernanke - Be tough, independent, raise rates

As Ben Bernanke takes over the reins at the Federal Reserve after his all-but-certain confirmation on Tuesday 31 January , Washington is bracing itself, according to this article published Monday, for the kind of noisy Fed transition it hasn't…

Senate votes on Bernanke, FOMC meets

The US Senate is aiming for a midday vote on the nomination of White House adviser Ben Bernanke to be chairman of the U.S. Federal Reserve, Senate leadership aides were quoted by Reuters as saying on Tuesday 31 January.

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