Reserve Bank of Australia

Claire Jones

This from the FT’s Josh Noble:

The Australian central bank plans to invest about 5 per cent of its foreign reserves in Chinese government bonds, in the latest move to build closer economic ties between the two countries.

The lead set by the Reserve Bank of Australia and a few others is likely to be followed by central banks elsewhere. Read more

Claire Jones

Mark Carney may be the first foreigner to become governor of the Bank of England in its 318-year history, but he is not the first to be approached.

Back in the 1960s, Harold Wilson’s Labour government wanted to replace Lord Cromer with the governor of the Reserve Australian central bank. This from David Kynaston’s The City of London: The History: Read more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

ECB vote

The European Central Bank’s governing council decamps to Ljubljana next week for its October policy vote. This from the FT’s Frankfurt bureau chief Michael Steen on what to expect: Read more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

BoE minutes

The Bank of England’s latest Monetary Policy Committee meeting minutes are out on Wednesday morning at 9.30am UK time (8.30am GMT).

Now that Adam Posen has stepped down from the committee, the most likely candidate for dissent is David Miles. However, most think Mr Miles will have resisted calling for further easing at this month’s meeting and that all of the MPC will have backed the decision to hold policy firm. This from Nomura’s Philip Rush: Read more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

Bank of England minutes

The minutes of the Monetary Policy Committee’s August meeting are out on Wednesday at 9.30amUKtime (8.30am GMT). Read more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

The European Central Bank and the Reserve Bank of Australia vote on monetary policy next week.

How will the ECB react to the pain in SpainRead more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

FOMC minutes

The minutes of the Federal Open Market Committee’s mid-March meeting are out on Tuesday at 2pm in Washington, DC (8am GMT). This from the FT’s US economics editor Robin Harding on what to expect: Read more

Claire Jones

Our week ahead email helps you to track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

Bernanke goes back to school

Ben Bernanke, Fed chairman, next week delivers the first two of four lectures to undergraduates at the George Washington University School of Business. Read more

Claire Jones

Our week ahead email helps you track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

FOMC/ BoJ votes

The Federal Open Market Committee and the Bank of Japan’s policy board both vote on Tuesday. Will either panel back a change in course?  Read more

Claire Jones

Our week ahead email helps you track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

MPC minutes

The minutes of this month’s Monetary Policy Committee meeting, out on Wednesday, will reveal whether all of the nine-strong committee backed the decision to expand quantitative easing by £50bn.

Many think the decision will have split the committee. Read more

Claire Jones

Our week ahead email helps you track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe

Investors’ gaze will be fixed firmly on Frankfurt this coming Thursday, when the European Central Bank’s governing council will conclude its monetary policy meeting.

The governing council’s decision is out 13.45 local time (12.45 GMT). That’s followed 45 minutes later by a presser with ECB president Mario Draghi.

Here’s the FT’s Frankfurt bureau chief Ralph Atkins on what to expect: Read more

Claire Jones

Our week ahead email helps you track the most important events in central banking. To see all of our emails and alerts visit www.ft.com/nbe  Read more

Claire Jones

Bank set for a grilling on QE2

Bank governor Sir Mervyn King and his deputy Charlie Bean, have been called before parliament’s Treasury Select Committee on Tuesday to explain why the MPC launched a fresh round of asset purchases this month.  Read more

Claire Jones

Our week ahead email will help you to track the most important events in the central banking world. To see all of our emails and alerts visit www.ft.com/nbe

The Federal Open Market Committee’s minutes are out on Wednesday for its late September meeting, where the majority backed Operation Twist, at 14.00 DC time (18:00 GMT). Read more

Claire Jones

Our week ahead email will help you to track the most important events in the central banking world. To see all of our emails and alerts visit www.ft.com/nbe

Both the European Central Bank and the Bank of England will vote on monetary policy on Thursday.

The Monetary Policy Committee decision is out at noon local time (11.00 GMT). According to a Reuters poll, most expect the Bank to hold rates and maintain the stock of asset purchases at £200bn. However, a significant minority predict more QE, with most of these believing that £50bn is the amount that the MPC is most likely to plump for.

Though those expecting more QE in October are in the minority, the bulk of analysts do believe the Bank will expand its asset purchases at some point in the near future, with November considered the most likely option. The Bank also publishes the minutes of its FPC meeting on Monday at 09.30 local time (08.30 GMT), which may shed some light on the rather ambiguous statement that came out this week.   Read more

Claire Jones

Rate decisions

Next week sees a host of central banks vote on monetary policy.

The Reserve Bank of Australia’s board is expected to hold rates on Tuesday. On Wednesday Sweden’s Riksbank, the National Bank of Poland, the Bank of Japan and the Bank of Canada are all set to vote. Read more

Claire Jones

Some central bankers have been as spooked as markets by the signs of late that global growth will disappoint.

Turkey’s central bank cut rates to an all-time low despite credit growth of 40 per cent, and the South African Reserve Bank’s Gill Marcus warned of more social unrest if world leaders failed to get a grip.

Officials in Australia are rather less concerned, however, that events elsewhere will hinder growth prospects at home. Read more

Claire Jones

Jackson Hole

Most of the world’s senior central bankers (see last year’s attendee list) will head to the wilds of Wyoming from next Thursday to Saturday for the Kansas City Fed’s annual Jackson Hole economic symposium.

Among those attending this year are ECB president Jean-Claude Trichet along with his fellow executive board members José Manuel González-Páramo and Peter Praet, Bank of England deputy Charlie Bean, and Fed chair Ben Bernanke. Fed vice chair Janet Yellen, and governors Sarah Raskin and Elizabeth Duke will also be at the event.  Read more

Claire Jones

FOMC speak
Three Federal Open Market Committee members give their take on the US economic outlook following Tuesday’s pledge to keep rates at record lows for almost another two years.

William Dudley, the New York Fed president and the only voting member of the three, offers his thoughts on Thursday. He follows the Atlanta Fed’s Dennis Lockhart, who is set to talk on the US economy on Monday at 17.00 GMT. This post, from the Atlanta Fed’s research director Dave Altig and economist Mike Bryan, signals that Mr Lockhart is likely to be in the wait-and-see camp on QE3. The Cleveland Fed’s Sandra Pianalto covers the evolving financial services industry along with the economic outlook when she speaks on Friday at 17.45 GMT. Read more

Australia’s cash rate will remain at 4.75 per cent, with strong growth and good terms of trade outweighing the temporary disruption due to flooding:

In setting monetary policy the Bank will, as on past occasions where natural disasters have occurred, look through the estimated effects of these short-term events on activity and prices. The focus of monetary policy will remain on medium-term prospects for economic activity and inflation.

Were it not for the flooding, this would be quite a bullish statement. “Australia’s terms of trade are at their highest level since the early 1950s and national income is growing strongly,” says the Bank. “Employment growth was unusually strong in 2010. Most leading indicators suggest further growth, though most likely at a slower pace.” Read more