I got this one wrong last week by over-interpreting some comments by St Louis Fed president James Bullard. Mea culpa.
Today, the FRB has released two templates to show what its interest rate forecasts will look like when they are actually released next Wednesday. It will take the form of two charts, one showing the actual rate forecasts and one expectations for the year of the first rise, although it should be fairly easy to extract the numerical forecasts quickly from both of them. Read more
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The Federal Open Market Committee meets on Tuesday and Wednesday to set monetary policy for the coming month and a half.
The meeting – to be followed by one of chairman Ben Bernanke’s press conferences – could see the FOMC announce an inflation target. This from the FT’s US economics editor Robin Harding: Read more
The battle hots up. Luxembourg has challenged Spain’s self-proclaimed right to a place in the European Central Bank’s top management team. The Grand Duchy on Friday announced it would nominate Yves Mersch, the country’s central bank governor, for the upcoming vacancy on the ECB’s six-man executive board.
As Money Supply reported earlier this week, Madrid has already nominated Antonio Sáinz de Vicuña, a Spanish ECB veteran who heads its legal department, to replace José Manuel González-Páramo, his compatriot , whose eight-year term on the executive board ends in May.
The contest may prove an unwelcome distraction as eurozone leaders seek to combat the region’s debt crisis. But this could be a battle fought at the highest level. Read more