Central banking
Here’s how AI could influence the Fed’s economic outlook
Key Points Members of the Federal Open Market Committee are factoring rising labor productivity in their economic forecasts. In a long-run “unbounded growth” scenario where AI is fully developed, up to 23% of workers may lose employment and labor productivity increases by as much as three to four times, according to a May 2025 research […]
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Bank of Japan raises benchmark rates to highest in 30 years, lifting 10-year JGB yield past 2%
Kazuo Ueda, governor of the Bank of Japan (BOJ), during a committee on financial affairs meeting at the lower house of parliament in Tokyo, Japan, on Friday, Nov. 21, 2025. Bloomberg | Bloomberg | Getty Images Japan’s central bank on Friday raised its short-term rates to a three-decade high, marching ahead with its policy normalization, […]
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Bank of England cuts interest rates, in welcome Christmas boost for consumers
The Bank of England (BOE) in the City of London, UK, on Monday, Dec. 15, 2025. Bloomberg | Bloomberg | Getty Images The Bank of England voted narrowly to cut interest rates on Thursday, in its last monetary policy move of 2025. The central bank’s nine-member monetary policy committee (MPC) on Thursday voted 5-4 to […]
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Three holds and a cut? Europe’s central banks are about to make their final calls of 2025
A projected illumination marking the 75th anniversary of the Schuman Declaration, on the Grossmarkthalle building at the European Central Bank headquarters in Frankfurt, Germany, on May 9, 2025. Alex Kraus/Bloomberg via Getty Images Investors are gearing up for the last interest-rate decisions of 2025, with four of Europe’s central banks announcing their monetary policies and […]
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Fed’s Goolsbee explains vote against rate cut, says central bank should have waited
Austan Goolsbee, President and CEO of the Federal Reserve Bank of Chicago, speaks to the Economic Club of New York in New York City, U.S., April 10, 2025. Brendan McDermid | Reuters Chicago Federal Reserve President Austan Goolsbee on Friday explained why he voted against this week’s interest rate cut, saying policymakers should have waited […]
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India’s inflation rises to 0.71% in November as decline in food, fuel prices loses steam
Shoppers purchase groceries at the upscale LuLu Hypermarket located in the Lulu International Shopping Mall in Kerala, India, on May 25, 2022. Nurphoto | Nurphoto | Getty Images India’s consumer inflation rose to 0.71% in November, accelerating from an all-time low of 0.25% in the prior month. The headline inflation number was in line with […]
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‘Reflation is back’ says Deutsche Bank as global central banks diverge from Fed
As central banks make different decisions on rates this week and next, their economies all show one thing, according to Deutsche Bank: Global reflation is back. “Something’s cooking. In contrast to US rates, the rest of the world looks far more interesting,” George Saravelos, global head of FX Research at Deutsche Bank, said in a note […]
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Divided Fed approves third rate cut this year, sees slower pace ahead
Key Points A Federal Reserve split over where its priorities should lie cut its key interest rate Wednesday in a 10-3 vote, but signaled a tougher road ahead for further reductions. The FOMC’s “dot plot” indicated just one more reduction in 2026 and another in 2027, amid considerable disagreement from members about where rates should […]
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The Fed decision is expected to feature a rate cut and a lot more. Here’s what to expect
The Federal Reserve is poised to deliver its third straight interest rate cut Wednesday, while simultaneously firing a warning shot about what’s ahead. Following a period of remarkable indecision about which way central bank policymakers would lean, markets have settled on a quarter percentage point reduction. If that’s the case, it will take the Fed’s […]
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European markets set for soft open as investors await Fed decision
FILE PHOTO: Bull and bear symbols for successful and bad trading are seen in front of the German stock exchange (Deutsche Boerse) in Frankfurt, Germany, February 12, 2019. Kai Pfaffenbach | Reuters European shares are expected to open mostly flat on Tuesday as global investors await the U.S. Federal Reserve’s monetary policy update. Futures tied […]
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