Rate cut startles markets
Video: The Bank of England has cut UK interest rates to 3 per cent. Chris Giles examines the reasons behind the move
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Bank tries ‘last heave’ with £25bn boost
The Bank of England will pump another £25bn into the economy, which remained mired in recession in the third quarter, in what was described as ‘one last heave’ to propel growth
NZ dollar falls after central bank warning
The pound recovered from early losses against the dollar on Thursday after the Bank of England extended its asset purchase plan by less than some had forecast.
Fed spells out stance on rates
The Federal Reserve signalled that it expected to keep interest rates near zero for at least six months, but for the first time identified factors that could lead to earlier rises
Markets await MPC move on easing
This week’s meeting of the Bank of England’s monetary policy committee has markets waiting to see whether it can offer the economy a further shot in the arm
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Tackling inflation
As global growth slows, we track inflation in key economies and how central banks have adjusted interest rates in response
Have your say on the interest rate cut
Is the MPC decision good news or is it time to panic?
MPC decisions charted
The Bank of England’s monetary policy committee voted at its July meeting to not expand its £125bn programme of quantitative easing, but will review its decision in August. See how MPC members have voted
Comment
We must not be too late with starting the Big Exit
If we stick to the zero interest rate policy for too long, we risk a degree of economic instability much more extreme and costly than the recent financial crisis, writes Wolfgang Münchau
They must plan their exits
Investors will soon face a period when they can no longer rely on central banks to backstop the financial system, writes Michael Mackenzie
Short View: Central banks
Since March, markets have been driven by a re-rating of the economic outlook as investors increasingly believe in an imminent recovery, writes Jennifer Hughes
Why the Fed should be given more powers
Last year’s financial disaster has made clear that system-wide regulation is now mandatory.The Fed is the only qualified party to take on this role by Roger Altman
New powers for Federal Reserve
The sweeping powers US Treasury secretary Timothy Geithner’s legislative proposal grants the government are what give the bill both its strengths and its weaknesses
Towards the next peak
Global economy: As demonstrated at the Fed gathering that preceded Ben Bernanke’s renomination, world central bankers know their jobs will change but diverge on what to do differently
Central banks can adapt to life below zero
At rates of minus 1 or 2 per cent, people would still opt to hold cash in deposits rather than taking the trouble to hide it under a mattress and hire round-the-clock security guards, writes Wolfgang Münchau
The case against Bernanke
Ben Bernanke lacked the foresight and courage to resist the most reckless tendencies of the era of excess, writes Stephen Roach
Blogs
What’s next for central banks
After the US Federal Reserve slashed interest rates to nearly zero, Willem Buiter asks what else can be done by the central banks? Quantitative easing and qualitative easing are next
Quantitative easing: Lessons from Japan
As the recession deepens, policy rates around the world are rapidly approaching zero and they cannot go any lower. Have central bankers run out of ammunition? Not necessarily
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