Where are the endpoints of QT? Ample Reserve System vs Demand-driven Floor System
Quantitative tightening (QT)—a process central banks use to reverse years of liquidity creation from quantitative easing (QE)—is concluding in many advanced economies. The central banks are growing confident that reserve levels in their financial systems are nearing their endpoints.
Where are the endpoints of QT and what come next?
Shadow Fed Chair — and Powell’s nuclear option to counter it
President Trump's plan to install a "Shadow Chair" months before Jerome Powell's term ends will definitely reshape US monetary policy — but it could face a surprising challenge from Powell himself.
Early signs of inflation expectation de-anchoring back in 2021
Ricardo Reis, economics professor at the London School of Economics, explained that there were telling signs that the increase in cost of living started ealry-2021 was not a "transitory" phenomenon.
The Most Important Question Jay Powell Need to Answer – Where is the Saturated...
The most important question for the 30th Jan Fed meeting balance sheet policy, because it is also most underrated by the market.
Fed’s swap lines help easing Covid-era global dollar shortage
Countries with swap line arrangement with Federal Reserve, be it the standing ones or temporary, saw smaller increases in spread during the initial pandemic stress period.
Dallas Fed’s Logan cites neutral rate uncertainty as reason to ‘proceed cautiously’ on rate...
Lorie Logan, president of Dallas Fed, expressed worry about uncertainty surrounding the exact level of neutral rate of interest and hinted at the risk that the Federal Reserve's policy rate might already near the point which further rate may starts to fuel inflation again
No, PPI is not a measure of wholesale inflation
A standard perception of PPI is that it is a measure of "wholesale inflation", but the BLS told EconReporter that this interpretation of PPI is not at all correct.
Macroprudential Policy – how does it differ from rate hikes?
Macroprudential policies, it is argued, are more targeted and can complement central bank’s use of interest rate policy.
Planet Money Book—a long-time listener, first-time reader’s review
Planet Money Book is an excellent introduction to economics and finance and reminded me why it is good to have Planet Money in our life.
Why Negative Rate is a better policy tool to Higher Inflation Target? Bernanke Explains…
In his latest Brookings blog post "Modifying the Fed’s policy framework: Does a higher inflation target beat negative interest rates?", Ben Bernanke compares two...















