Central Bank News Link List - July 21, 2014 - Carney’s Canada years signal BOE rates caution

Here's today's Central Bank News' link list, click through if you missed the previous link list. The list comprises news about central banks that is not covered by Central Bank News. The list is updated during the day with the latest developments so readers don't miss any important news.

• Carney’s Canada years signal BOE rates caution (Bloomberg)
• Wall Street lags central bank’s rate-rise expectations (Reuters)
• New Zealand central bank to raise rates again, but likely signal a pause (Reuters)
• South Korea finance minister, central bank chief cite risks to growth (Reuters)
• Nigeria central bank to hold rates as new chief eyes inflation (Business Day)
• Brazil analysts cut 2014 GDP call below 1% for first time (Bloomberg)
• Pakistan: the inevitable happened (Business Recorder)
• Sterling investors start to price in Scotland vote risk (Reuters)
• China tests new monetary policy tool (Dow Jones)
• Swiss National Bank, China agree on currency-swap deal (WSJ)
• Germany’s Schaeuble warns ECB on asset bubbles (AFP)
• Germany’s Q2 growth stagnated: central bank (Xinhua)
• Saudi King appoints Al-Furaih as deputy central bank governor (Bloomberg)
• Eurozone needs quantitative easing (FT Editorial)
• Bangladesh credit expansion, rate cuts on table (Financial Express)
• Investors give thumbs up to Nepal monetary policy (Republica)
• Outcome of ECB review of banks should be credible, says Moody’s (IBTimes)
• Irish central bank suffers 75 m euro paper loss as gold plunges (Independent)
• Analysts see Kenya inflation staying within targets (The Star)
• Sri Lanka bank credit subdued in May (Lanka Business Online)
• Have central banks been breaking the law? (The Telegraph)

          www.CentralBankNews.info

This week in monetary policy (UPDATE): Nigeria, Hungary, New Zealand, Russia, Trinidad & Tobago and Bangladesh

    This week (July 21-25, 2014) five central banks will decide on monetary policy, comprising the countries of Nigeria, Hungary, New Zealand, Russia and Trinidad & Tobago.

    Following table includes name of the country, its MSCI classification, the date the policy decision will be announced, the current policy rate, and the rate one year ago.

COUNTRY	MSCI	DATE	CURRENT  RATE	1 YEAR AGO
NIGERIA	FM	22-Jul	12.00%	12.00%
HUNGARY	EM	22-Jul	2.30%	4.00%
NEW ZEALAND	DM	24-Jul	3.25%	2.50%
RUSSIA	EM	25-Jul	7.50%	8.25%
TRINIDAD AND TOBAGO		25-Jul	2.75%	2.75%
BANGLADESH	FM	26-Jul	7.75%	7.75%

   
www.CentralBankNews.info

Monetary Policy Week in Review – Jul 14-18, 2014: Fed debate intensifies, 3 central banks raise rates, 2 cut

    Last week in global monetary policy, three central banks raised policy rates (South Africa, Egypt and Ukraine) while two banks (Turkey and Chile) cut their rates as the debate over the U.S. Federal Reserve’s eventual interest rate rise intensified.
    There were three developments surrounding Fed policy that stood out last week.
    First, the Fed’s statement in its latest Monetary Policy Report that the share prices of social media and biotech firms appeared  “substantially stretched.”
    Second, a series of news stories with major investors and Wall Street financiers calling for the Fed to start to normalize monetary policy and think about rate rises.
    Third, Fed Chair Janet Yellen’s testimony to a Senate committee that included the statement that rates could be raised sooner if the labour market improves more quickly than anticipated.
    While Yellen’s reflections on the labor markets and investors’ views of  Fed policy are part of the normal evolution of a policy consensus in a democratic society, the Fed’s mention of the share prices of two specific stock sectors was a surprise.
    Economists and central bankers have for years debated how monetary policy should react to booms in asset prices and the risk of financial instability, a debate that most recently hit the headlines following the annual report by the Bank for International Settlements (BIS).
    The Fed’s statement about the stock prices of social media and biotech firms is thus an example of how central banks initially will react when they perceive that certain assets are inflated.

LIST OF LAST WEEK’S CENTRAL BANK DECISIONS:

• Sri Lanka holds rates, sees inflation in mid-single digits
• Mauritius holds rate, expects steady stance to end-2014
• BOJ maintains policy stance, trims 2014 growth forecast
• Chile cuts rate 25 bps, will consider further reductions
• Canada holds rate, neutral about next change in policy
• Ukraine hikes rate 300 bps to 12.5% to boost hryvnia
• Brazil holds rate steady at 11.0% "at this moment"
• Turkey cuts repo, overnight borrowing rates 50 bps
• South Africa raises rate 25 bps but still below neutral
• Egypt raises rate 100 bps in preemptive strike vs inflation
• Pakistan maintains rate, inflation expectations benign

TABLE WITH LAST WEEK’S MONETARY POLICY DECISIONS:

COUNTRY	MSCI	NEW RATE	OLD RATE	1 YEAR AGO
SRI LANKA	FM	6.50%	6.50%	7.00%
MAURITIUS	FM	4.65%	4.65%	4.65%
JAPAN	DM	N/A	N/A	N/A
CHILE	EM	3.75%	4.00%	5.00%
CANADA	DM	1.00%	1.00%	1.00%
UKRAINE	FM	12.50%	9.50%	7.00%
BRAZIL	EM	11.00%	11.00%	8.50%
TURKEY	EM	8.25%	8.75%	4.50%
EGYPT	EM	9.25%	8.25%	9.75%
SOUTH AFRICA	EM	5.75%	5.50%	5.00%
PAKISTAN	FM	10.00%	10.00%	9.00%

    This week (Week 30) five central banks will decide on monetary policy, comprising the countries of Nigeria, Hungary, New Zealand, Russia and Trinidad and Tobago.

TABLE WITH THIS WEEK’S MONETARY POLICY DECISIONS:

COUNTRY	MSCI	DATE	CURRENT  RATE	1 YEAR AGO
NIGERIA	FM	22-Jul	12.00%	12.00%
HUNGARY	EM	22-Jul	2.30%	4.00%
NEW ZEALAND	DM	24-Jul	3.25%	2.50%
RUSSIA	EM	25-Jul	7.50%	8.25%
TRINIDAD AND TOBAGO		25-Jul	2.75%	2.75%

    www.CentralBankNews.info

Central Bank News Link List - July 20, 2014 - Pakistan maintains rate, inflation expectations benign

Here's today's Central Bank News' link list, click through if you missed the previous link list. The list comprises news about central banks that is not covered by Central Bank News. The list is updated during the day with the latest developments so readers don't miss any important news. 

• Pakistan maintains rate, inflation expectations benign (State Bank of Pakistan)
• Peru’s central bank sees weaker growth, wider trade gap in 2014 (Reuters)
• Publication of ECB minutes will end a decade of silence (FT)
• Odds against policy shift at Monday’s MPC meeting (This Day Live)
• Sri Lanka cenbank may take legal action if banks don’t reduce rates (Colombopage)
• Thai central bank tells investors yuan’s potential in world trade (China Post)
• Pimco’s Gross sees 10-year T-yield 2.5-3 pct now and for next few years (Reuters)
• Bulgaria speaks to shareholder Oman about Corpbank rescue (Reuters)

         www.CentralBankNews.info

Central Bank News Link List - July 18, 2014 - Lagarde says financial markets “perhaps too upbeat” on Europe

Here's today's Central Bank News' link list, click through if you missed the previous link list. The list comprises news about central banks that is not covered by Central Bank News. The list is updated during the day with the latest developments so readers don't miss any important news.

• Lagarde says financial markets “perhaps too upbeat” on Europe (Reuters)
• BOJ minutes: need to pay attention to geopolitical risks (Reuters)
• ECB’s Weidmann says won’t put off rate rise due to public finances (WSJ)
• Inflation leaves little doubt on South Africa rate path (Bloomberg)
• New Zealand Reserve Bank caught in signaling dilemma (New Zealand Herald)
• Nigeria to hold rates as new central bank chief eyes inflation-poll (Reuters)
• Colombia central bank may up GDP estimate for year-board member (Reuters)
• ECB sees some banks flunking asset test even as industry boosted (Bloomberg)
• Bank of Portugal moves to calm investors over Espirito Santo (WSJ)
• Iceland’s central bank sees economic recovery but flags risks (WSJ)
• Rate hike best keep sterling on track for weekly gains vs euro (Reuters)
• Nepal central bank unveiling monetary policy (Myrepublica) 

          www.CentralBankNews.info