Data: Organization for Economic Co-operation and Development; Graphic: Axios Visuals As central banks around the world rapidly raise interest rates, policymakers outside the United States may find that it has more leverage in terms of demand reduction. The reason comes down to the unique way Americans finance their homes. Why is this important: Americans tend …
The impact of monetary tightening on mortgage rates Read More »
Speech by Christine Lagarde, President of the ECB, at the hearing of the Committee on Economic and Monetary Affairs of the European Parliament Brussels, 28 November 2022 Over the past 12 months, the ECB has embarked on a rapid and comprehensive process of monetary policy normalization. First, we ended net asset purchases within months. Then …
Hearing of the Committee on Economic and Monetary Affairs of the European Parliament Read More »
November 28, 2022 Components of the broad monetary aggregate M3 The annual growth rate of the broad monetary aggregate M3 decreased from 6.3% in September to 5.1% in October 2022.[1], averaging 5.8% in the three months to October. The components of M3 showed the following evolutions. The annual growth rate of the narrower aggregate M1, …
Monetary developments in the euro area: October 2022 Read More »
Alena Kang-Landsberg and Matthew Plosser Editor’s note: When this article was first published, the legend entries for the first chart were transposed; caption corrected (November 21, 9:45 a.m.) When the Federal Open Market Committee (FOMC) wants to raise the federal funds rate target range, it raises interest on reserve balances (IORB) paid to banks, the …
How do deposit rates react to monetary policy? – Economy of Liberty Street Read More »
A dysfunction in financial markets risks undermining the effectiveness of the Federal Reserve’s monetary tightening tools, a senior U.S. central bank official has warned, amid growing calls for sweeping reforms to the $24 billion Treasury market. dollars. Speaking at an annual Treasury market conference on Wednesday, New York Fed Chairman John Williams stressed the need …
Fed official warns out of whack markets threaten to blunt monetary policy Read More »
