Central Bank Watch
Sri Lanka: No Further Monetary Tightening at This Time.
March 14, 2012
The Sri Lankan economy has issues that often require monetary policy tightening: an excessive trade deficit, private domestic credit growth of more than 30% on year, diminished international reserves, and a vulnerability. A number of measures were taken earlier this year to address the problems including an 18% cap on credit growth and, on February […] More
Deeper Analysis
How the U.S. Current Account Was Financed in the Fourth Quarter and 2011
March 14, 2012
The current account deficit widened 15.3% last quarter and to 3.2% of GDP from 2.8% in the third quarter. The increase in 2011 was only 0.5%, and there was a marginal dip last year when expressed as a percentage of GDP. The table shows the financing of that current account between official and private capital […] More
New Overnight Developments Abroad - Daily Update
The Morning After
March 14, 2012
Yesterday was a good day for investors, who sighed continuing relief because 1) a disorderly Greek default had been averted and prompted Fitch to upgrade that country’s credit rating to B-, 2) a Fed statement that upgraded growth prospects but did not tighten its policy stance, 3) U.S. stress test results where 15 of 19 […] More
