Hints and tips:
...Powell also suggested it was too soon to know whether recent signs of stickier than expected inflation, especially in the services sector, would last....
...Andrew Hollenhorst, an economist at Citi, noted that shipping disruptions in the Panama and Suez canals, and now on the US east coast following the collapse of a bridge at Baltimore’s port, meant goods prices...
...“The further slowdown in wage growth evident in the fourth quarter employment cost index illustrates that easing labour market conditions are helping to push inflation down,” said Andrew Hunter, deputy chief...
...As Andrew Hunter, US economist at Capital Economics put it: Much of the debate on inflation across developed markets right now is being driven by comparing apples to oranges....
...The owners of the long faces you show — Jay Powell, Andrew Bailey and Christine Lagarde — should do their homework (“Central banks rethink forecasting after failures”, Report, December 29)....
...The Bank of England is expected to make its first cut in the summer as governor Andrew Bailey notes “encouraging signs” on inflation....
...We know R-star occupies the Fed because chair Jay Powell said last year he was “navigating by the stars under cloudy skies”....
...Powell set markets on this uncertain path last August when he described the Fed as “navigating by the stars under cloudy skies”....
...But Bailey, unlike Powell, painted a portrait of a decidedly sickly economy....
...Summing up the challenge in September, Powell said: “Forecasting is very difficult. Forecasters are a humble lot — with much to be humble about.”...
...The S&P 500 slipped 0.1 per cent in the final trading session of the week but the index gained 2.3 per cent since last Friday’s close, after Federal Reserve chair Jay Powell on Wednesday indicated a preference...
...Andrew Bailey has warned markets against underestimating the persistence of UK inflation and stressed he expected the Bank of England would keep interest rates high for an extended period of time....
...Mentioned in this podcast: EU leaders agree to start accession talks with Ukraine Stocks and bonds surge as Jay Powell comments fuel bets on interest rate cuts ECB keeps rate on hold but lowers inflation...
...While Jay Powell, the Fed chair, seized upon favourable trends in US inflation and labour markets as he executed a U-turn on the interest rate outlook, BoE governor Andrew Bailey and his colleagues went...
...Undoubtedly, and using a clever distinction I heard years ago from my former Pimco colleague Andrew Balls, last week’s central bank outcomes were correlated rather than co-ordinated....
...Andrew Hill wonders whether AI could make problem-solving processes less mind-numbing....
...“If the Fed were to avoid pre-emptive cuts, and leave interest rates unchanged until the second half of next year, then you would begin to see a material increase in the unemployment rate,” said Andrew Patterson...
...Fed chair Jay Powell said he did not think recent inflation readings had “really changed the overall story” of price pressures easing to 2 per cent....
...But chair Jay Powell also did little to push back on the notion that the Fed is now pivoting to cuts....
...ECB president Christine Lagarde said summer was most likely, Fed chair Jay Powell pushed back on a March cut, and the BoE governor Andrew Bailey wants to wait for more evidence....
...US Federal Reserve chair Jay Powell kicks things off on Wednesday. He is widely expected to again hold the fed funds rate at 5.5 per cent....
...On Thursday, Bank of England governor Andrew Bailey said it needed “more evidence” of disinflation before it would cut rates....
...“Powell wrote the epitaph [this week].”...
...The ECB and BoE have struck a more hawkish tone than Powell, with both indicating in December that it was too soon to relax the fight against inflation....
...In early November, Powell sounded the alarm about an excessive tightening of financial conditions....
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