Central Banks

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Germany's Angela Merkel and France's Emmanuel Macron have propesed a €500 billion European coronavirus reconstruction plan. The aim is the recovery fund that should give grants, not loans to EU member states.

The Federal Reserve released it's twice–yearly report on financial hazards in it's 2020 financial stability report warning that the coronavirus (COVID-19) pandemic has caused tremendous human and economic hard-ship across the United States and around the world. They warned on assets if the pandemic worsens.

The Federal Reserve kept rates unchanged, kept QE infinity open with TALF for open-ended Treasuries, MBS and corporate bonds in amounts needed. Fed will continue to assess Cornoavirus damages to the economy.

The ECB said it is taking steps to mitigate the impact of possible ratings downgrades on collateral availability and will grandfather until September 2021 eligibility of marketable assets in euro system credit operations. The market has been jittery about the Italian credit situation.

The Reserve Bank of Australia left interest rates unchanged on Tuesday to 0.25%  The RBA had performed a second 25bp cut in March to a historic low. RBA to buy govt bonds in secondary market across yield curve.

The Bank of Canada cut its key lending rate to 0.25 percent on Friday in an unexpected move. This is the third 50bp cut in just 2 weeks in response to Coronavirus panic. BOC also launched first QE and a commercial paper program.

The Swiss National Bank in response to the Coronavirus Pandemic set up a refinancing facility and deactivated the counter-cyclical buffer for Swiss Banks Tuesday. The SNB announced new packages to attempt to protect the Swiss economy.

The Federal Reserve launched QE infinity Monday, establishing TALF for open-ended Treasuries, MBS and corporate bonds in amounts needed. Fed followed up last week's surprise rate slash and expanded QE as Cornoavirus damages the economy.

The Reserve Bank of Australia cut interest rates on Wednesday to 0.25%  The second 25bp cut in March  to a historic low. RBA to buy govt bonds in secondary market across yld curve.

The Federal Reserve in a surprise move Sunday evening slashed rated 1.00% to zero after an emergency meeting  with Jerome Powell as Chairman.  Fed expanded QE $700 Billion on Cornoavirus damage to economy. The Fed corinated the move with other central Banks

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