Balance sheet
Powell hints at long-term goals for Fed balance sheet
Proposed reserves buffer is more than enough, Charles Goodhart says
Fed officials reveal further details of balance sheet plans
Fed discusses letting assets fall off its balance sheet at the same pace as economic expansion
FOMC members want plan to end balance sheet reduction, minutes show
Some FOMC members say further rate rises may be necessary in 2019
Fed to finalise balance sheet plans in upcoming meetings – Mester
Discussions over final size and future use of the balance sheet underway at the central bank
BIS study asks whether central bank crisis actions de-risk the balance sheet
Authors study whether a central bank can influence its own risk, or if this is “wishful thinking”
Fed takes dovish stance as it clarifies long-run monetary policy
New statement seeks to clarify Fed’s balance sheet normalisation strategy
PBoC denies that new liquidity tool is a ‘form of QE’
Central bank bills swap is essentially quantitative easing, says one analyst
Professional services initiative: World Gold Council
Having identified seven different ways of accounting for monetary gold among 70 central banks, the WGC developed guidance to bring greater consistency to accounting practices
Auditors call for BoE to do more to modernise working practices
Complex, outdated and overly manual processes are adding to costs, says report
EME central banks can counter the next downturn
Philip Turner urges central banks to consider a broad range of actions to tackle volatility stemming from currency mismatches
Fed weighs future policy transmission framework
Implementing technical adjustments might be necessary, Powell says
Ageing population could harm policy transmission – BoE’s Saunders
Interest rates’ “cashflow channel” may weaken, says MPC member
ECB paper examines banks’ responses to unconventional policy
Weaker banks’ sheets reduce credit supply in response to conventional policy shocks, paper finds
Balance sheet adjustments needed to combat climate change, says Finland’s Rehn
Finnish governor urges central banks to do more around the issue, including gathering more data to better forecast risk
Central Bank of Ireland details updated financial buffers framework
Central bank incorporates risk simulation over five-year horizon
Supervisory lessons: fault lines in prudential regulation
Former Bank of Spain head of supervision Aristóbulo de Juan highlights the lessons he has learnt about weaknesses in prudential regulation, in the second of a four-part series on supervision
Future balance sheet size hard to judge – BoE’s Ramsden
Reserves demand likely to become more important as QE winds down, but how large the balance sheet will be is an “open and difficult question”, deputy says
Capital markets union a la Willie Sutton
When Sutton was asked why he robbed banks, he said: “That’s where the money is.” Europe has yet to address where the capital markets union funding should come from, but there is a solution
James Bullard on 2% rates, tariffs and Fed leadership
The president of the Federal Reserve Bank of St Louis speaks about the impact of US trade policies, the disruption to the banking industry from Silicon Valley, shrinking the Fed balance sheet and the potential for agent-based modelling
Goldman, Morgan Stanley push for stress test changes
Balance sheets will shrink in a crisis, not grow, trading houses argue
Monetarist perspective affects normalisation forecasts – Chicago Fed paper
Incorporating money demand into projections affects forecasts of remittances and money multiplier
Policy normalisation puts EMs in ‘perilous’ situation – Mexico’s Calafell
Deputy governor says monetary policy may tighten faster than markets expect
BoE capital injection lays ground for stronger crisis response
Higher risk-bearing capacity allows additional emergency measures, Mark Carney says; move could bring forward BoE’s exit from QE
Experts warn Mexico’s peso defence could be costly
Risks on the horizon prompt concerns around the Bank of Mexico’s approach to forex volatility