Sentences with phrase «central banks purchase government»

In this case, central banks purchase government securities.

Not exact matches

The term refers to a central bank using newly created money to purchase government bonds and other securities.

Huge purchases of longer - dated Japanese government bonds is a natural way to ease monetary policy, but central bankers must monitor the side - effects, Haruhiko Kuroda, the government's nominee to be the next Bank of Japan governor, said on Monday.

While the BoJ has argued that central bank asset purchases would not work in the absence of structural reforms, strategists said that high government debt levels will constrain fiscal expansion.

He has implemented a massive stimulus policy by cutting the central bank's benchmark interest rate to negative, keeping the 10 - year Japanese government bond yield near 0 percent in an effort to control the yield curve and stepping up the Bank of Japan's asset purchabank's benchmark interest rate to negative, keeping the 10 - year Japanese government bond yield near 0 percent in an effort to control the yield curve and stepping up the Bank of Japan's asset purchaBank of Japan's asset purchases.

Because the central bank's purchases represent increased demand, it tends to push up government bond prices, thus lowering yields.

The central bank said it will purchase Japanese government bonds so that the yield on the 10 - year note will remain at around zero percent.

Currently, investors are touting the possibility of the central bank being forced to follow up its cheap loans to banks — known as TLTRO — and asset - backed securities and conduct Federal Reserve - style government bond purchases to boost inflation.

Central bank purchases, investor yield - seeking and safe - haven flows have driven down yields on government and investment grade corporate bonds.

The core quantitative easing transaction (QE) is the central bank's purchase of government securities.

The central bank said it would continue purchasing government bonds through at least September 2018, but in reduced monthly amounts.

Are gold and silver purchases more sensible than investing in overpriced paper debts that guarantee a negative yield in a devaluing currency issued by a dodgy government or central bank?

With the UK economy gradually picking up pace and inflation rising on the back of a weaker currency, the UK's central bank may finally go ahead with a rate hike for the first time in a decade, although it is widely expected to leave the monthly government and corporate - bond purchases untouched at # 435 and # 10 billion respectively.

Instead, those savings have been shunted to the Fed, and to other central banks, which use them to purchase government securities, and also for other purposes, but never, with rare exceptions (and with good reason), to fund potentially productive enterprises.

[2] Unlike some other central banks, the Fed is prohibited from purchasing Treasury securities from the government.

Growth in most of the eurozone has remained tepid and reliant on continued central bank stimulus, though the European Central Bank's (ECB's) bond - purchasing program has been hampered by a scarcity of eligible bonds, as issuance from member governments is restricted by their austerity - driven pocentral bank stimulus, though the European Central Bank's (ECB's) bond - purchasing program has been hampered by a scarcity of eligible bonds, as issuance from member governments is restricted by their austerity - driven policbank stimulus, though the European Central Bank's (ECB's) bond - purchasing program has been hampered by a scarcity of eligible bonds, as issuance from member governments is restricted by their austerity - driven poCentral Bank's (ECB's) bond - purchasing program has been hampered by a scarcity of eligible bonds, as issuance from member governments is restricted by their austerity - driven policBank's (ECB's) bond - purchasing program has been hampered by a scarcity of eligible bonds, as issuance from member governments is restricted by their austerity - driven policies.

Bernanke had pushed the central bank to drop its key short - term interest rate to near zero and purchased trillions of dollars of government bonds to lower long - term rates.

The European Central Bank on Thursday delivered basically what the market expected for QE: 60 billion euros of purchases per month directed at investment - grade - rated government and agency debt and with a total size, considering the contemplated end date by September 2016, of around one trillion euros.

Indeed, the rest of the world's central banks are purchasing assets (e.g., government debt, investment grade corporate bonds, higher - yielding junk corporates, stocks, etc.) with QE «funny money» in the hopes that it will boost economic growth.

Additionally, the European Central Bank (ECB) began a new corporate bond purchase program earlier this month, depressing European government bond yields even further and driving up demand for Treasuries.