Central banking
Nobel winner Joseph Stiglitz says Fed raised rates ‘too far, too fast’ — and now needs to cut big
Nobel Prize-winning economist Joseph Stiglitz says the Federal Reserve should deliver a half-point interest rate cut at its forthcoming meeting, accusing the U.S. central bank of going “too far, too fast” with monetary policy tightening and making the inflation problem worse. His comments come ahead of Friday’s pivotal release of U.S. jobs data, with investors […]
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A supersized Fed rate cut this month could be ‘very dangerous’ for markets, economist warns
Federal Reserve Chair Jerome Powell announces interest rates will remain unchanged during a news conference at the Federal Reserves’ William McChesney Martin Building in Washington, D.C., on June 12, 2024. Kevin Dietsch | Getty Images A deeper interest rate cut from the Federal Reserve this month could spook financial markets and send the wrong message […]
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The peak interest rate era is over. Here’s what investors are watching
A trader works on the floor of the New York Stock Exchange on Aug. 23, 2024. Bloomberg | Bloomberg | Getty Images Central banks around the world are set to kick off or continue interest rate cuts this fall, bringing an end to an era of historically high borrowing costs. In September, the U.S. Federal […]
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The Bank of Japan is certain to raise rates further. The question is when
TOKYO, JAPAN – AUGUST 23: Bank of Japan Governor Kazuo Ueda attends a session in the financial affairs committee at the lower house of parliament on August 23, 2024 in Tokyo, Japan. Tomohiro Ohsumi | Getty Images News The Bank of Japan is widely expected to stick to its monetary policy tightening campaign as inflationary […]
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Goldman issues warning on how quickly market confidence has recovered from an August stocks slump
Traders work on the floor of the New York Stock Exchange during morning trading on Aug. 23, 2024. Angela Weiss | AFP | Getty Images The speedy return of market confidence following a dramatic global sell-off in risky assets should be seen as a cause for concern, according to the head of asset allocation research […]
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Bank of Japan to begin initial research to include wage trends in ‘tankan’ business survey
Pedestrians walk past the northern entrance to the Bank of Japan (BOJ) headquarters in Tokyo, Japan. Tomohiro Ohsumi | Bloomberg | Getty Images The Bank of Japan (BOJ) said on Tuesday it would start preliminary research on including wage-related items in its quarterly “tankan” business survey to more accurately reflect wage trends in the country’s monetary policy. The central bank plans […]
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Bank of England’s Bailey: ‘More restrictive policy’ could still be needed due to labor market shocks
Andrew Bailey, governor of the Bank of England, waits to deliver a lecture at the London School of Economics in London, UK, on Tuesday, May 21, 2024. Bloomberg | Bloomberg | Getty Images Bank of England Governor Andrew Bailey will hail the progress made in dampening inflation in the U.K. in a Friday speech, but […]
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Fed Chair Powell indicates interest rate cuts ahead: ‘The time has come for policy to adjust’
Federal Reserve Chair Jerome Powell laid the groundwork Friday for interest rate cuts ahead, though he declined to provide exact indications on timing or extent. “The time has come for policy to adjust,” the central bank leader said in his much-awaited keynote address at the Fed’s annual retreat in Jackson Hole, Wyoming. “The direction of […]
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Here’s everything to expect from Fed Chair Powell’s speech Friday in Jackson Hole
Key Points Fed Chair Jerome Powell will deliver his policy speech at 10 a.m. ET from the central bank’s annual conclave in Jackson Hole, Wyoming. For all the attention being paid to the presentation, the chances of it containing any startling news seem remote. In previous years, Powell has used Jackson Hole speech to outline […]
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Philadelphia Fed President Harker advocates for interest rate cut in September
Key Points Philadelphia Federal Reserve President Patrick Harker provided a strong endorsement to an interest rate cut on the way. “I think it means this September we need to start a process of moving rates down,” Harker told CNBC. Kansas City Fed President Jeffrey Schmid also spoke to CNBC, offering a less direct take on […]
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