PA ANALYSIS: Should the ECB admit defeat on QE now?
As France and other parts of the eurozone return to work after an August on the beach or in the countryside, the focus of investors turns once again to Mario Draghi and the European Central Bank.
Monetary Policy
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PA ANALYSIS: Falling discount rates – gain before the pain
The ultra-loose monetary policy pursued by central banks since the financial crisis has implied an unprecedented fall in discount rates, which has led to a massive front-loading of returns: not only for bonds, but also for equities. Does this mean you should take your profit now and sell?
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Fed turns ‘mildly hawkish’
The Federal Reserve’s decision to hold rates at 0.25-0.5% announced last night surprised nobody, but the accompanying rhetoric suggested a more hawkish stance is emerging.
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ECB rates unchanged but eligibility issues remain
No changes to the European Central Bank’s monetary policy stance was announced at its meeting on Thursday; as it chose to maintain the deposit rate at -0.4%.
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PA ANALYSIS: Investors will struggle to find the signal in the Fed’s noise
As the Federal Open Market Committee settles into another two day meeting, investors would be right to have low expectations on the level of clarity they will get as a result.
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IMF, ECB defend negative rates
Banks do derive benefits from negative interest rates, which are a net positive for the economy, said José Viñals director of monetary and capital markets at the IMF.
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Unconventional monetary policy: Catch-22
Quantitative easing is far from finished as central banks realise procrastination will not halt deflationary forces.
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Does the Fed behave differently in an election year?
Canada Life Investments economist David Arnaud has examined the historical data to shed light on whether suspicions the Federal Reserve takes the election cycle into account are founded.
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Negative interest rates: Keynes revisited
Negative interest rate policies have started to unnerve investors, even though Sweden, Denmark, the eurozone and Switzerland have all had negative policy rates for over a year.
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Europe must turn to fiscal policy now – Fidelity
The greatest impact on real economic activity throughout Europe will come from fiscal measures rather than any more monetary stimulus, according to head of European equities at Fidelity International Paras Anand.
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Six eurozone factors to focus on in 2016
After years of economic stagnation, the gradual recovery in the eurozone is beginning to show signs of sustainability.
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Schroders expects June rate hike
The US Federal Reserve will likely raise interest rates one or two times this year, according to Garth Taljard, the firm’s head of multi-asset products for Asia.