2.5 C
Toronto
Wed | Apr 2-2025 | 11:43 pm EDT
Home Authors Posts by Cloud Y

Cloud Y

Cloud Y
167 POSTS 0 COMMENTS
The independent journalist who set up this website after realizing he is not smart enough to become a real economist.

Hong Kong Linked Exchange Rate & HKD-USD interest rate differential

HKD tends to be on the strong side (closer to HKD 7.75 per USD) when the interest rate differential is positive (HIBOR > LIBOR).

Why the Fed announces “not-QE” Treasuries purchase program?

Federal Reserve announced yesterday that it will start purchasing Treasury bills from Oct 15 (Tuesday) until at least the second quarter of next year.

The problem with monetarist’s view of inflation

Long-run stability of the velocity, or the filpside of it, money demand, however, is not a empirically founded assumption.

The repo spike is not liquidity crisis; it is a crisis for Fed’s floor...

The floor system needs a cap on top of it. The sooner the Fed realizes it, the better they will be prepared for the coming financial turmoil.

Is there a Zero Lower Bound?

In a recent research, four European Central Bank economists found that negative interest rate policy in the eurozone can encourage banks to increase lending and encourage cooperations to increase investments. That is, contrary to what macroeconomics models usually predict, interest rate policy can still has stimulative effect even the zero lower bound is reached.

When will Hong Kong’s Interest Rates Align With the US?

If you think the interest rate gap between Hong Kong and US is a market phenomenon, think again. HK Monetary Authority has a much bigger role than you think

Signs of Eurozone Recession is More Apparent

The latest Purchasing Manager Index (PMI) for the two largest economies, Germany and France, is showing a clear sign of looming recession.

Japan’s Inflation Rate is still Far From BOJ’s 2 Percent Target

Japan's core inflation rate was on 0.7 percent in February, remaining distant from the Bank of Japan's 2 percent target.

Phillips Curve is Not a Straight Line…

A story about three economists agree with the prevailing consensus that the Phillips Curve of the US is flattened in the last few decades on the one hand; and dispute the idea that the Phillips Curve is dead on the other.

FedSpeak Might Not Have Much Effects on Public’s Inflation Expectation

In a recent NBER working paper "Monetary Policy Communications and their Effects on Household Inflation Expectations", economists Olivier Coibion, Yuriy Gorodnichenko and Michael Weber tried to find out how the household's expectation for inflation change with regard to the information they received.

Global Economy

Interviews

Joseph Gagnon Cover

The effects of Unconventional Exchange Rate and Monetary Policy | Q&A with Joseph Gagnon

The honorable guest for this installment is Joseph E. Gagnon, senior fellow at Peterson Institute for International Economics (PIIE). We discussed one of his latest research paper "Unconventional Monetary and Exchange Rate Policies" and the new book he coauthored with C. Fred Bergsten, "Currency Conflict and Trade Policy: A New Strategy for the United States". Gagnon also shared his view on the very popular "Global Financial Cycle" ideas.