Central Bank Watch
Bank of England Publishes Quarterly Inflation Report with Updated Policy Guidance
February 12, 2014
The Inflation Report observes that Unemployment probably reached the “guidance” threshold in January. Real GDP is likely to expand 3.4% this year, considerably more quickly than bank officials imagined previously. Excess productive capacity has not been eliminated fully and will keep inflation near the 2% medium term target. Labor productivity is not growing as fast […] More
Central Bank Watch
Central Bank of Iceland
February 12, 2014
Sedlabanki officials left Iceland’s seven-day collateralized interest rate at 6.0%, where such has been for the past fifteen months. Five hikes of 25 basis points and one in May 2012 of 50 bps lifted the monetary policy rate from 4.25% prior to August 2011 to 6.0% by November 2012. The last ten policy meetings including […] More
New Overnight Developments Abroad - Daily Update
Markets Accepting the Message that Fed Tapering Will Continue
February 12, 2014
Janet Yellen’s message had two parts. First, the onset of a rising federal funds rate remains far away and the economy remains vulnerable. Second, a measured pace of quantitative easing will not be halted except in the case that the economy seems to be veering sharply below expectations, that is toward recession. This message was […] More
