The numbers seem to be going in the ‘right’ direction for the Fed to pull off a soft landing – and avoid a recession – but the picture remains murky.
The deeper causes of inflation will make it very difficult to bring price rises down to more manageable levels.
Central banks are reaching into their toolkits to shore up the global financial system.
The failure of Silicon Valley Bank has exposed gaps in financial regulation that could be tricky to fill.
There are two types of systemic risk that can infect the highly interconnected global banking system.
The two central banks were due to raise rates aggressively, but then came the banking crisis.
The banking crisis has been caused by the interest rate rises, and further hikes were supposed to be a no no.
The collapse of a US bank is the latest crisis for central banks to deal with. But rather than being saviours of the global economy, what if they are actually a big part of the problem?
The speed of SVB’s collapse was a surprise but central bankers can learn lessons from this failure.
Central banks have been signalling that rate rises are going to get more aggressive again, but can the economy actually take it?
The reputation of the Bank of Canada will be undermined if the public believes the bank’s method of controlling inflation is no longer the right move.
Alan Shipman, The Open University; Aymen Smondel, IAE Nice - Université Côte d'Azur; Bhima Yudhistira Adhinegara, Center of Economic and Law Studies (CELIOS); John W. Diamond, Rice University; Luis Garvía Vega, Universidad Pontificia Comillas; Mohamad Hassan Shahrour, IAE Nice - Université Côte d'Azur; Peter Martin, Crawford School of Public Policy, Australian National University, and Wayne Simpson, University of Manitoba
Price inflation has hit countries differently, but most central banks and governments are concerned about the rising cost of living in 2023.
Central bankers are set to slow down their rate hikes.
Men were significantly less likely to express confidence in the Federal Reserve and optimism about the economy when monetary policy information came from a woman versus a man.
Because central banks delayed interest rate increases early in the pandemic, they have spent 2022 playing catch-up with runaway inflation.
The new government faces both short- and long-term problems when trying to reignite investor confidence in the UK
On September 16 1992 the state fought the markets, and the markets won.
Inflation remained near a 40-year high due to a jump in the cost of food and shelter. But that might not mean the Federal Reserve will get more aggressive when it comes to monetary policy.
The Bank of Canada’s expansionary monetary policy in 2021 is an important source of the high inflation we are experiencing today.
Many central bankers and economists are forecasting a return to low inflation within a couple of years, but that’s wishful thinking.