Central Bank Watch
FOMC Minutes from the May 2-3 Meeting
May 24, 2023
The FOMC minutes, published this afternoon, reveal frustration that inflation continues to recede more slowly, pushes back against any consideration of a rate cut in 2023 or indication that the rate under no circumstances would be raised further in the second half of 2023. The mantra is that policy will be data driven, leaving most […] More
Central Bank Watch
Central Bank Rate Hikes in Iceland and New Zealand
May 24, 2023
Iceland’s 7-day term deposit rate was lifted 125 basis points to 8.75%. Such had been as low as 0.75% prior to May 2021, 2.0% at the beginning of 2022, and 6.0% when 2023 started. With CPI inflation edged up to 9.9% and measures of long-term expected inflation also creeping higher, the statement released in conjunction […] More
New Overnight Developments Abroad - Daily Update
More Pessimism
May 24, 2023
The possibility of a U.S. debt default next month persists. Central Bank interest rates were raised today by 125 basis points in Iceland, 50 bps in Nigeria, and 25 bps in New Zealand. Europe’s largest economy has “suffered a setback” according to the May German business climate index compiled by the IFO Institute. Inflation according […] More
