Canada Economics Weekly OECD's call for higher interest rates misplaced The OECD's suggestion that the Bank of Canada may need to raise interest rates soon is misplaced for two reasons. First, it underestimates the amount of monetary policy stimulus that will be needed to... 25th November 2013 · 1 min read
US Economics Weekly Fed looking to change the mix rather than stance of policy The Fed is clearly looking to offset the market impact from any decision to wind down its asset purchases by strengthening its commitment to leave its policy rate at near-zero for several more years... 25th November 2013 · 1 min read
Africa Economics Update The SARB’s hands are tied The South African Reserve Bank (SARB) left rates on hold today but gave its clearest indication yet that the next move in interest rates will be up. The renewed slump in economic growth means that the... 21st November 2013 · 1 min read
Japan Economics Update Bank of Japan probably on hold until second half of 2014 The Bank of Japan’s decision to maintain the current pace of asset purchases after its Board meeting today was no surprise. Governor Kuroda emphasised the Bank’s willingness to ease further, but also... 21st November 2013 · 1 min read
US Economics Update Fed minutes suggest December taper not out of the question The key takeaway from the minutes of the late October FOMC meeting is that, despite the government shutdown, the Fed was still open to tapering its monthly asset purchases at the mid-December meeting. 20th November 2013 · 1 min read
UK Data Response MPC minutes (Nov.) November’s MPC minutes echoed the message of the Bank of England’s November Inflation Report that UK monetary policy is on hold for the foreseeable future. 20th November 2013 · 1 min read
Latin America Economics Update Chile cuts rates again to revive flagging domestic demand Chile’s central bank (BCC) lowered its policy rate by a further 25bps last night in response to fresh signs that domestic demand is cooling. With growth and inflation set to remain weak for the... 20th November 2013 · 1 min read
Africa Economics Update Fiscal concerns to prompt rate hikes in Nigeria next year It is fitting that Nigeria’s Budget Proposal for 2014 has been delayed again on a day where the Central Bank has voiced its concerns over fiscal slippage. Low inflation means the Central Bank has... 19th November 2013 · 1 min read
Emerging Europe Economics Update Turkey tightens modestly but more may be needed The Turkish central bank made a small adjustment to its liquidity provision today which should lead to a modest rise in market interest rates. However, there's little more that the MPC can now do to... 19th November 2013 · 1 min read
Bank of Japan Watch Board disagreements underline bias towards further easing The statements following the two-day meeting of the Bank of Japan's Policy Board, which concludes on Thursday, are likely to be dovish even if there is no additional loosening just yet. It has been... 18th November 2013 · 1 min read
UK Economics Weekly Message from the MPC - ignore our guidance! The changes to the MPC's unemployment forecasts revealed in its November Inflation Report last week forced the Committee to play down the strict interpretation of its own forward guidance that... 18th November 2013 · 1 min read
Emerging Markets Economics Update Exchange rates to frame EM monetary policy in near term Currency movements will continue to play a major part in determining emerging market (EM) monetary policy. Countries where currencies have weakened alongside large current account deficits - Brazil... 15th November 2013 · 1 min read
Asia Economics Update India pinning too-high hopes on boost from monsoon On the back of the strongest monsoon in six years, policymakers in India appear confident that a bumper crop will translate into stronger growth and help tame inflation. While the monsoon will help at... 15th November 2013 · 1 min read
US Economics Update Yellen plays the continuity card At her Senate nomination hearing today, the current Fed Vice Chair Janet Yellen carefully defended the Fed's policy and regulatory actions over the past few years, suggesting that her approach will... 14th November 2013 · 1 min read
Global Economics Update Reform of international monetary system: off the agenda? Many commentators have attributed the sequence of crises in emerging markets since the 1980s and the global financial crisis of 2008/09 at least partly to shortcomings of the international monetary... 14th November 2013 · 1 min read
Asia Economics Update Pakistan finally gets serious about inflation The State Bank of Pakistan (SBP) hiked its policy rate for the second time in two months yesterday. This represents a sharp turnaround from earlier this year, when the central bank cut rates despite a... 14th November 2013 · 1 min read
