Interest rates
Bank of Israel’s communication more accessible than Fed’s and ECB’s – research
In August, the central bank issued a special statement correcting forward guidance on lower inflation
Chile cuts rates again following weeks of protests
Below-target inflation requires more monetary stimulus, says the central bank
‘Never give up’: Draghi holds final monetary policy meeting
Outgoing ECB president says council issued a call for unity
Fed expands daily repo operations
Recent auctions show banks still have a strong demand for liquidity following last month’s rate spike
Indonesia cuts rates for fourth time this year
Indonesia has cut a total of 100bp in the latest cycle; more cuts are possible but depend on Fed move and rupiah stability
Tackling ‘dead-end’ monetary policy
A shift to lower inflation targets would help central banks escape forever-loose monetary policy, writes former IMF chief Jacques de Larosière
Strong global forces pushing some central banks to buy gold – analysts
Poland’s move and others pushed by negative rates, political uncertainty and changing monetary system, experts say
IMF: loose monetary policy is fostering greater risk-taking
A crisis half as strong as in 2008 could send “corporate debt at risk” to $19 trillion, says the fund
Riksbank’s Ingves weighs post-crisis policy legacy
“Leaning against the wind” clashing with inflation target, communications challenges and cash’s decline have shaped the last decade
BoE’s Vlieghe: central banks must focus on ‘debt, demographics and distribution’
Risk-based approach could be helpful in thinking about the impact on rates, policy-maker says
IMF warns of ‘synchronised slowdown’ as it cuts forecasts
Fund revises down growth prospects for 2019–20 and calls for action on financial vulnerabilities
Bahamas takes steps towards digital currency as legal tender
Central bank proposes changes to governing law to give itself authority to issue a CBDC
St Louis Fed president calls for standing repo facility
Facility would solve “almost all” of the Fed’s problems in controlling rates, James Bullard says
New German ECB board member may help unify governing council
Leading candidates seen as capable of playing a more constructive role, as critics become more vocal
Inflation in Mexico falls to target for first time since 2016
Minutes say officials acknowledge price increases are falling faster than previously anticipated
BoJ weighs further stimulus as tax hike bites
But central bank may be reluctant to add more stimulus while tax hike effects are uncertain
There are better ways to solve China trade dispute – Atlanta Fed economist
It is “underappreciated” that the Chinese currency is devalued, Tao Zha says
Chances of US recession ‘notably increased’, FOMC members say
Fed rate-setters worried by trade and political uncertainty and weaker manufacturing, minutes show
Fed opts for asset purchases as liquidity solution
Central bank chooses not to address possible plumbing issues – at least for now
IMF chief sends strong warning on trade in first speech
US-China trade war could cost global economy the GDP equivalent of Switzerland, Kristalina Georgieva warns
Bank of Uganda implements 100bp rate cut
Rate setters think below-target inflation offers opportunity to support economic growth
Minneapolis Fed president calls for more cuts
Kashkari says cuts would support the economy, but he is unsure how low rates needs to go
Bank of Israel holds rate in divided policy meeting
Central bank willing to cut rates in future to boost below-target inflation
Borio and co-authors attack concept of natural interest rate
BIS paper sets out a model in which “monetary policy hysteresis” can do lasting damage to the economy