BoE’s Haldane Sees No Current Need for Negative Rates

A top Bank of England (BoE) official Wednesday vigorously downplayed the need for sub-zero interest rates in the UK, citing an economic recovery that has far outpaced the Bank’s expectations. “At present, none of the conditions [that would necessitate negative rates] is, in my view, satisfied,” said Andy Haldane in a virtual speech to the […]
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BoE Chief Reviews Negative Rates; Downplays Cut

The Bank of England (BoE) is continuing to review the efficacy of negative interest in the UK, but the country’s leading central banker Tuesday downplayed the possibility of any policy change over the near term. The Bank is “doing the groundwork” on the benefit of sub-zero rates, but has “reached no judgement on whether or […]
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Eurozone Economic Sentiment Improves, But Pace Slows

Economic sentiment in the countries sharing the euro improved in September, but at a slower pace than in previous months, the European Commission reported Tuesday. The Commission’s Economic Sentiment Indicator (ESI) rose to 91.1 in September, an improvement of 3.6 points from the 87.5 result in August. By comparison, August improved 5.1 points over the […]
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US September Confidence Surges; Outlook Improved

The Conference Board’s US consumer confidence index Tuesday surged to a reading of 101.8 in September, the strongest reading since March, from an upward revised 86.3 reading in August. The Conference Board noted both the current conditions reading and future expectations rose solidly in the month, which should support spending. Analysts had expected the September […]
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ECB’s Schnabel Calls for a Euro Carbon Tax

A top European central banker Monday rebuked investors for underpricing the risk of climate change and called for a global carbon price to challenge the ecological and financial harm presented by global warming. “A global climate price is the most powerful way to correct market failure and to set in motion a process whereby firms […]
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ECB’s Lagarde Unveils New Transparency Measures

Europe’s top central banker Monday promised greater transparency in its communications with the European Parliament, stepping up efforts to enhance public accountability following a rebuke from a German court back in May. Effective immediately, the European Central Bank (ECB) will publish “the opinions of the ECB Ethics Committee for cases of conflict of interest and […]
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Jobs Report Could See 1-2-3 Punch

The September employment report could be hit with a triple shot from Hurricanes Marco, Laura and Sally, adding to the already slowing pace of gains seen over the last three months. Hurricane Marco slammed into the Gulf Coast on August 24, followed swiftly by Hurricane Laura on August 27, both too late to be captured […]
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UK Labour Market Could be “Permanently Scarred”: BoE

The UK labour market could suffer permanent scarring as a result of the coronavirus, according Bank of England chief economist Andy Haldane, who told ITV’s Robert Peston in an interview that there’s “a good chance” that coronavirus will accelerate a shift toward knowledge-based digital industries that was already in train before the pandemic ravaged the […]
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US Initial Claims in Tight Range; New Home Sales Surge

Initial claims rose by 4,000 in the September 19 week to a level of 870,000, below the 880,000 level expected and within the same narrow range for the last four weeks. The four-week moving average for initial claims fell by 32,250 to 878,250 in the current week, an eighth straight decline. The last week of […]
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US Existing Home Sales Highest Since Housing Boom

US existing home sales rose further in August due to near record low mortgage rates, cutting into supply and driving prices up further. National Association of Realtors chief economist Lawrence Yun said that housing appears to be in a V-shaped recovery, with further increases likely through the end of the year as rates remain low. […]
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