Central Banks

Google Ad

Minneapolis Fed President Neel Kashkari speaking in a question and answer session took on the banks being too big to fail and capital requirements for America's biggest banks should be doubled.

The Bank of Japan announced it is cutting back the purchase of Japanese Government Bonds (JGB). The BOJ had announced it is targeting the yield curve so should not be unexpected.

Federal Reserve and FDIC say they found shortcomings in plans from Bank of America, Goldman Sachs, Morgan Stanley and Wells Fargo 

ECB interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged.

Bank of England kept its benchmark interest rate at 0.5%, the vote was unanimous.

People’s Bank of China, China’s central bank raised interest rates on its standing lending facility (SLF) short-term loans by 5 basis points.

No surprises from the Federal Reserve Wednesday the FOMC Raised Interest Rates 25 bp as expected to the 1.25%-1.50% range and announced the taper continuance. The Fed  began to unwind the $4.5 trillion balance sheet in October.

The Bank of Canada announced that is was holding rates steady at 1.0% after its monetary policy meeting Wednesday. Though expected there had been concerns of hawkish language after last week's strong jobs report in Canada. The Canadian dollar fell in relief after the report.

Central Bankers have a great way of avoiding when they are wrong, what is scary is how quick they jump on when they percieve they are right. This gem from Bank of Canada Senior Deputy Governor Carolyn Wilkins, "we started to raise rates at exactly the right time."

Bank of Japan board member Hitoshi Suzuki signaled in interviews that the BOJ may raise interest rates before inflation hits its 2% target. He also said the BOJ could slow or change the way it buys exchange-traded funds (ETF) purchases in the future.

Google ads