Central banking
Federal Reserve will reduce staff by 10% in coming years, Powell memo says
U.S. Federal Reserve Chair Jerome Powell departs after holding a press conference following a two-day meeting of the Federal Open Market Committee on interest rate policy in Washington, D.C., U.S., May 7, 2025. Kevin Lamarque | Reuters The Federal Reserve will look to reduce its headcount by 10% over the next couple of years, including […]
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Fed’s Powell cautions about higher long-term rates as ‘supply shocks’ provide policy challenges
Key Points Fed Chair Jerome Powell said Thursday that longer-term interest rates are likely to be higher as the economy changes and policy is in flux. “We may be entering a period of more frequent, and potentially more persistent, supply shocks — a difficult challenge for the economy and for central banks,” the central bank […]
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Powell may have a hard time avoiding Trump’s ‘Too Late’ label even as Fed chief does the right thing
U.S. Federal Reserve Chair Jerome Powell speaks during a press conference following a two-day meeting of the Federal Open Market Committee on interest rate policy in Washington, D.C., U.S., May 7, 2025. Kevin Lamarque | Reuters History suggests that President Donald Trump’s new “Too Late” nickname for Federal Reserve Chair Jerome Powell has a strong […]
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Why the Bank of England governor thinks uncertainty is here to stay despite a trade deal
Bank of England Governor Andrew Bailey attends the central bank’s Monetary Policy Report press conference at the Bank of England, in the City of London, on May 8, 2025. Carlos Jasso | Afp | Getty Images Bank of England Governor Andrew Bailey told CNBC on Thursday that the U.K. was heading for more economic uncertainty, […]
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The Fed meets with uncertainty permeating the air. Here’s what to expect
Key Points The Federal Reserve heads into its closely watched policy decision Wednesday with a strong incentive to do absolutely nothing. Market pricing in the futures markets are implying almost no chance of an interest rate cut at this week’s meeting, and only about a 1-in-3 probability of a cut at the June 17-18 session. […]
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Bank of Japan holds rates steady for second straight meeting as Trump tariffs threaten exports
The Bank of Japan (BOJ) headquarters in Tokyo, Japan, on Thursday, Oct. 31, 2024. The Bank of Japan kept its benchmark interest rate unchanged. Getty Images Japan’s central bank held its policy rate at 0.5% Thursday, for a second straight meeting, as U.S. President Donald Trump’s tariffs weighed on the country’s economic outlook. The move […]
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German fiscal boost won’t outweigh tariff drag for euro zone, IMF’s Europe head says
Higher German infrastructure spending will boost Europe’s economic growth in the coming years — but not enough to outweigh the expected drag from U.S. tariffs, according to Alfred Kammer, director of the European department at the International Monetary Fund. The IMF last week cut its growth outlook for the euro area, also making downgrades for […]
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Inflation job nearly done but tariff risks loom — What European Central Bank members said this week
Guests and attendeess mingle and walk through the atrium during the IMF/World Bank Group Spring Meetings at the IMF headquarters in Washington, DC, on April 24, 2025. Jim Watson | Afp | Getty Images After years dominated by the pandemic, supply chains, energy and inflation, there was a new topic topping the agenda at the […]
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Bank of England chief focused on tariff ‘growth shock’ but downplays UK recession risk
The Bank of England is focused on the potential U.K. growth shock from U.S. tariffs if there is a slowdown in global trade, the central bank’s governor Andrew Bailey said Thursday. “We’re certainly quite focused on the growth shock,” Bailey told CNBC’s Sara Eisen in an interview at the IMF-World Bank Spring Meetings. Going into […]
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Fed’s Hammack calls for patience in assessing what impacts tariffs will have on the economy
Key Points In her first broadcast interview since taking the reins at the Cleveland Fed, Hammack noted the high level of uncertainty now and did not commit to a specific course of action regarding interest rates. A former Goldman Sachs executive, Hammack said she is sensitive to market movements but only in how they affect […]
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