Central banking
South Korea’s central bank unexpectedly raises rates as prices surge
Signage at the Bank of Korea headquarters in Seoul, South Korea, on Monday, Nov. 22, 2021. South Korea’s central bank raised its policy rate to the highest since August 2019 on Thursday in an unexpected move. SeongJoon Cho | Bloomberg | Getty Images South Korea’s central bank raised its policy rate to the highest since […]
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Fed’s Waller sees likelihood of multiple half-point interest rate hikes ahead
Getting inflation under control will require raising interest rates at a faster pace than normal even though the pace of price increases probably has peaked, Federal Reserve Governor Christopher Waller said Wednesday. That means the central bank likely will hike short-term rates by half a percentage point, or 50 basis points, at its meeting in […]
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UK inflation hits 30-year high of 7% as energy prices surge
The 7% annual rise for U.K. inflation in March is the highest since 1992. Photo by Christopher Furlong/Getty Images LONDON — U.K. inflation came in at an annual 7% in March, its highest for 30 years. Consumer prices rose by 1.1% month-on-month, outstripping expectations for a 0.7% climb in a Reuters poll of economists, which […]
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Want to understand Turkey’s brutal inflation? Look at the price of plums
Shoppers stroll the aisles of a bazaar in Konya, Turkey. The country is experiencing brutal inflation, with food and non-alcoholic beverage prices rising 70.3% year over year for March. Diego Cupolo | Nurphoto | Getty Images For Turks, the humble green plum (“erik” in Turkish) represents the start of spring. An intensely sour fruit, it’s […]
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Russia’s war in Ukraine means there’ll be no return to normality for Europe’s economy
German Chancellor Olaf Scholz, French President Emmanuel Macron and Polish President Andrzej Duda attend a news conference ahead of a Weimar Triangle meeting to discuss the ongoing Ukraine crisis, in Berlin, Germany, February 8, 2022. Hannibal Hanschke | Reuters The war in Ukraine and the ensuing economic sanctions imposed on Russia will cause far bigger […]
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Japan’s wholesale inflation stays near record on Ukraine war and a weak yen
A customer picks up a snack at a supermarket store in Tokyo, Japan, on Tuesday, July 27, 2021. Japan’s wholesale inflation remained near record-high levels in March as the Ukraine crisis and a weak yen pushed up fuel and raw material costs, data showed on Tuesday Noriko Hayashi | Bloomberg | Getty Images Japan’s wholesale […]
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This isn’t a recession – it’s a ‘war-cession,’ top strategist says. Here’s why it’s different
LONDON — The global economy is likely entering a “war-cession,” according to veteran investment strategist David Roche, and markets are underestimating its duration. It comes as markets attempt to navigate a flurry of concurrent economic hurdles, including Russia’s invasion of Ukraine, soaring inflation, rising interest rates and supply disruption from China’s efforts to contain a […]
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India’s central bank keeps rates steady as growth risks re-emerge
Reserve Bank Of India sign can be seen in Kolkata, India, 08 February, 2022. Indranil Aditya | Nurphoto | Getty Images The Reserve Bank of India’s monetary policy committee kept the bank’s key lending rate at a record low on Friday, as expected, as it sought to support economic growth even as inflation edged higher […]
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Global government debt set to soar to record $71 trillion this year, new research says
People wearing protective face masks wait at a bus stop with a display of the current national debt amid the coronavirus disease (COVID-19) pandemic in Washington, January 31, 2022. Sarah Silbiger | Reuters LONDON — Global sovereign debt is expected to climb by 9.5% to a record $71.6 trillion in 2022, according to a new […]
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Japan’s central bank will be ‘alarmed’ if yen crosses 130 per dollar, says ex-vice minister
The Bank of Japan will be “alarmed” if the yen weakens beyond 130 per dollar, according to Japan’s former vice minister of finance for international affairs, Eisuke Sakakibara. The yen was trading at 123.77 per U.S. dollar on Wednesday morning Asia. The Japanese currency fell more than 5% against the greenback in March, despite the […]
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