By David Barwick – FRANKFURT (EconoStream) – The Governing Council of the European Central Bank decided at its latest monetary policy meeting that a thorough recalibration of its monetary policy stance would have to wait until December, but vowed that it would not remain passive between now and then, ECB President Christine Lagarde said Thursday.
29 October 2020
By David Barwick – FRANKFURT (EconoStream) – The European Central Bank’s Governing Council faces a choice at Thursday’s monetary policy meeting that could be uncomfortably stark for some of its members. Though financial markets expect another stand-pat decision, events since September 10 may have fostered the sentiment among some participants that the ECB is in danger of falling behind the curve. A surprise outcome is not excluded.
26 October 2020
By Sophia Rodrigues – SYDNEY (EconoStream) – There is a high degree of certainty around most of the monetary policy decisions the Reserve Bank of Australia will announce at the November board meeting but one decision where there is some uncertainty is the rate on Exchange Settlement balances.
22 October 2020
By Sophia Rodrigues – SYDNEY (EconoStream) – The Reserve Bank of Australia introduced a 0.25% target for Australian government bonds in March and everyone called it Yield Curve Control.
22 October 2020
By David Barwick – LONDON (EconoStream) – The Bank of England is not running out of monetary policy room to manoeuvre, Dave Ramsden, Deputy Governor for Markets, Banking and Resolution at the BOE and member of the UK’s Monetary Policy Committee (MPC), said on Wednesday.
21 October 2020
By David Barwick – LONDON (EconoStream) – Downside economic risks are apparently materialising and any change in the Bank of England’s policy stance is more likely to be toward more accommodation, Gertjan Vlieghe, external member of the BOE’s Monetary Policy Committee, said on Tuesday.
20 October 2020
By David Barwick – FRANKFURT (EconoStream) – European Central Bank Governing Council member Pablo Hernandez de Cos on Tuesday said that the crisis was lasting longer than had been expected and that the pandemic’s persistence was increasing the likelihood of structural damage to the economy.
20 October 2020
By David Barwick – FRANKFURT (EconoStream) – Monetary policy in the euro area has to remain accommodative so as to avoid the threat of feedback loops, European Central Bank Governing Council member Jens Weidmann said on Monday.
20 October 2020
By David Barwick – FRANKFURT (EconoStream) – European Central Bank Executive Board member Yves Mersch on Monday said that the most recent information shows the economic recovery to be losing momentum on account of the resurgence of the pandemic.
19 October 2020
By David Barwick – FRANKFURT (EconoStream) – European Central Bank President Christine Lagarde on Monday acknowledged the growing risks to the economic recovery from the resurgence of the pandemic.
19 October 2020
By David Barwick – FRANKFURT (EconoStream) – An interview published over the weekend with European Central Bank Executive Board member Fabio Panetta highlights the impatience of some on the ECB Governing Council to act, potentially as soon as the policy meeting scheduled for October 29.
19 October 2020
By David Barwick – FRANKFURT (EconoStream) – This is the wrong time for policy to be hesitant, European Central Bank Executive Board member Fabio Panetta said Saturday.
17 October 2020
By David Barwick – FRANKFURT (EconoStream) – European Central Bank President Christine Lagarde on Thursday reiterated the ECB’s willingness to take further measures if needed.
15 October 2020
By David Barwick – FRANKFURT (EconoStream) – The interview that appeared Sunday with European Central Bank Executive Board member Philip Lane showed a side of the ECB’s chief economist observers may not be accustomed to. The relatively hawkish sentiments expressed by Lane should not delude anyone into too heavily discounting further monetary stimulus later this year.
13 October 2020
By David Barwick – FRANKFURT (EconoStream) – The decline in the real equilibrium interest rate has not rendered monetary policy ineffective and the European Central Bank’s unconventional policy tools have not had as harmful side effects as some suggest, ECB Executive Board member Isabel Schnabel said Monday.
12 October 2020
By David Barwick – FRANKFURT (EconoStream) – European Central Bank Executive Board member Philip Lane on Sunday strongly downplayed the importance of the euro’s appreciation and said the exchange rate should not be at the centre of policymaking.
12 October 2020
By David Barwick – FRANKFURT (EconoStream) – The interview of European Central Bank Governing Council member Jens Weidmann published Thursday in a German newspaper highlights the divergence of monetary policy perspectives in the Eurotower. The comparison with the account of the Council’s last policy meeting suggests differences that run deep.
11 October 2020
By David Barwick – FRANKFURT (EconoStream) – There is a ‘broad consensus’ on the need for monetary policy to remain accommodative for a long time to avoid the potentially dangerous consequences of persistently undershooting price stability, European Central Bank Governing Council member Ignazio Visco said on Sunday.
11 October 2020
By David Barwick – FRANKFURT (EconoStream) – The government debt increases due to the pandemic across the euro area won’t lead to fiscal dominance over monetary policy and represent no threat to the European Central Bank’s independence, ECB Executive Board member Isabel Schnabel said Saturday.
10 October 2020
By David Barwick – FRANKFURT (EconoStream) – The account of the European Central Bank’s policy meeting of 9-10 September, released by the ECB on Thursday, showed the Governing Council to consider the risk of a yet stronger euro to be a reason to avoid complacency and to convey to markets the possibility that further strengthening was not automatic.
9 October 2020