Friday, May 22, 2015 - 14:00 IMF: BOJ Unlikely to Hit 2% Inflation Soon; Govt Needs Reforms 0
TOKYO (MNI) - The International Monetary Fund said Friday that the Bank of Japan is unlikely to meet its target of anchoring inflation at 2% in the next year or so and again called on the Japanese government to work on fiscal consolidation and push for structural reforms to reduce overdependence on monetary policy.
In its annual Article IV consultation statement on Japan, the IMF said, "Additional monetary easing while strengthening its effectiveness through more explicit guidance would enhance inflation dynamics.
Friday, May 22, 2015 - 13:38 BOE Haldane: When Rates Hikes Start, Will Be Slow And Gradual 0
--Current Negative Inflation Rate Is "Good Deflation"
LONDON (MNI) - Bank of England Chief Economist Andy Haldane said Friday that interest rates will start to rise at some point, but when they do, Bank Rate hikes will likely be slow and gradual.
"When rates do start rising - and I've no idea when that will be - increases will likely be slow and gradual," Haldane told BBC Radio Scotland.
The Bank of England's benchmark Bank Rate currently stands at a record low 0.5% - a level it has now sat at for over 6 years.
However, Haldane underlined comments he has made in the past, stating that when rates did start to rise, they were unlikely to...
Friday, May 22, 2015 - 13:24 Yellen: Approp To Hike FFR This Year If Econ Does As Expect 0
--Economy Well-Positioned For Growth of 2.5%; Infl Headed to 2%
--Need To See Further Labor Market Improvement; Reasonable Confidence on Infl
By Steven K.
Friday, May 22, 2015 - 09:35 EURO WEEK AHEAD: Germany's Lull Puts France Data In Focus 0
By Martin Baccardax
LONDON (MNI) - European investors will head into a holiday shortened session next week focused on developments in the ongoing negotiations between Greece and its international creditors and concerns over the strength of the single currency's economic recovery.
With Germany signalling the increasing likelihood of a slow second quarter, there are concerns that growth outside of the region's largest economy may not be strong enough to maintain the 0.4% pace of expansion recorded in the first three months of the year.
This week also saw a string of sobering sentiment indicator releases, with the readings from ZEW's investor confidence survey, Markit Economics' PMI all undershooting market expectations....
Friday, May 22, 2015 - 05:45 BOE Shafik: Monetary Policy Can Offset Risks Permanent Damage 0
- Shafik: Fears About Damage To Economy Main Reason For Her Votes - Shafik: Expects Wage Growth Soon; Productivity Improvement Next 12 Months - Shafik: Pessimistic To Think Headwinds Will Persist
LONDON (MNI) - Bank of England Deputy Governor for Markets and Banking, Minouche Shafik, said Friday that concerns about permanent damage to the real economy from the financial crisis was a primary motivation for voting to keep Bank Rate at its record low level of 0.5%.
Speaking at the Association of Corporate Treasurers Annual Conference in Manchester, Shafik said she thinks productivity could begin to pick up over the next year, due to a tighter labour market, adding that pay growth could...
Friday, May 22, 2015 - 04:54 Update2:Draghi: EMU Outlook Brightest In 7 Yrs; Reforms Needed 0
By Martin Baccardax
LONDON (MNI) - European Central Bank President Mario Draghi said Friday that the region's economic outlook was the brightest in at least seven years as he laid out a detailed case for the need to accelerate structural reforms around the single currency area.
Speaking at the ECB's annual Forum on Central Banking in Sintra, Portugal, Draghi also said that the Bank's accommodative monetary policy would support the region's reform effort and noted that the Bank's myriad policy initiatives were working their way through the real economy.
"The argument that accommodative monetary policy constitutes an excuse for governments and parliaments to postpone their reform efforts is incorrect," Draghi asserted....