FOMC Interest Rate Commentary and Headlines

January 25, 2012 by · Leave a Comment 

  • 2012 growth at 2.2-2.6% vs. 2.5-2.9% in November forecast
  • Longer-run unemployment projections signal Fed’s assessment of maximum employment, but assessments uncertain, subject to revision
  • 6 of 17 Fed officials see no rate increase before 2015
  • 2% inflation target most consistent over long run with mandate
  • Maximum employment level largely determined by non-monetary factors
  • Inflation target of 2% in its longer-run goals and policy strategy statement
  • Not appropriate to adopt fixed goal for employment mandate

Bobbys Corner-FOMC-Nov.4.2009

November 4, 2009 by · Leave a Comment 

bob-slade-forex-2-150x200Hello All,

As expected the Fed kept interest rates unchanged at .25%

We are looking at the FOMC statement to decipher any changes regarding the timing of any future interest rate decisions.

Bank of England Holds Interest Rates At 0.50% as Forecast

June 4, 2009 by · Leave a Comment 

BOE: MAINTAINS QE UNCHANGED AT £125B

- to keep QE under review
- Asset purchases to be completed in 2 months

Reserve Bank of Australia’s Holds Interest Rates As Expected

June 2, 2009 by · Leave a Comment 

The RBA has held Interest Rates at 3.00% as forecast. 

RBA:  Sees scope remain for further easing if needed

- Global economy is stabilizing, turnaround is most evident in China
- Australian economy has been shrinking, growth in labor costs starting to decline
- Inflation to continue to recede in next 2 years
- Fiscal measures are producing considerable support for demand
- Full impact of recent easing yet to be felt
- Sees stronger dwelling activity later in the year
- Board to continue to monitor the economy and financial conditions
***The AUD initially softened following these comments

The RBA Holds Rates as Expected

May 5, 2009 by · Leave a Comment 

RBA LEAVES CASH RATE UNCHANGED AT 3.00%; AS EXPECTED

- Sees signs of stabilization in several countries
- Monetary policy has been eased significantly
- Full effect of past easing have yet to be felt
- Inflation is softening but at a gradual pace
- Capacity Utilization will decline further

The Bank of England Holds Interest Rates as Expected

April 9, 2009 by · Leave a Comment 

BOE LEAVES BANK RATE UNCHANGED AT 0.50% – AS EXPECTED, CONTINUES WITH £75B ASSET PURCHASE FACILITY

- To complete APF in 2 months

Bank of Japan Leaves Rates Unchanged

April 7, 2009 by · Leave a Comment 

BOJ LEAVES RATES UNCHANGED AT 0.10% (AS EXPECTED); Decision was unanimous; Will expand range of eligible collateral for loans on deeds to government loans within 10yr maturity

- Note: On Apr 5th, Nikkei reported that BoJ may seek to accept privately-placed municipal bonds as collateral for funds
- Expects further weakening in domestic private demand
- Expects pace of decline in output and exports to moderate
- Expects economic recovery in late FY09
- Uncertainty over economic outlook remains high
- Need to watch downside risks of inflationary expectations

BOJ Leaves Rates Unchanged as Forecast

March 18, 2009 by · Leave a Comment 

BOJ LEAVES RATES UNCHANGED AT 0.10% (AS EXPECTED); Decision Unanimous

- Will raise monthly JGB puchases to ¥1.8T from ¥1.4T
- Keeps economy assessment unchanged; Says economy is likely to continue deteriorating in the near term; overseas economies continue to worsen
- Financial conditions remain severe despite improvement
- Recovery is still expected late in 2009, but uncertainty over outlook remains high
- Must monitor downward inflation expectation risks
- Plans to buy ¥7.44T of JGBs maturing within a year

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