Sentences with phrase «higher central bank interest rates»

Some of that is for good reason — the eurozone's recovery is still extremely modest, China's growth is slowing (along with most other emerging markets) and investors are uncertain over the ability of the halfway - recovered US and UK economies to sustain higher central bank interest rates.

Not exact matches

On Wednesday, the U.S. central bank did not raise interest rates, but did point to higher inflation ahead.

YELLOWKNIFE, Northwest Territories, May 1 (Reuters)- Bank of Canada Governor Stephen Poloz said on Tuesday there is good reason to believe the central bank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that dBank of Canada Governor Stephen Poloz said on Tuesday there is good reason to believe the central bank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that dbank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that debt.

YELLOWKNIFE, Northwest Territories, May 1 - Bank of Canada Governor Stephen Poloz said on Tuesday there is good reason to believe the central bank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that dBank of Canada Governor Stephen Poloz said on Tuesday there is good reason to believe the central bank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that dbank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that debt.

NEW YORK, May 2 - The U.S. dollar held below 3 - 1 / 2 - month highs on Wednesday as investors awaited the outcome of a Federal Reserve meeting for indications on the U.S. central banks future interest rate path.

The benchmark 10 - year Treasury note fell from a more than four - year high to below 3 percent after the European Central Bank kept interest rates unchanged and reaffirmed its stimulative monetary policy stance.

The Swedish crown hit a six - day high after the country's central bank said it saw an interest rate hike coming in the second half of the year, but the currency quickly gave up those gains.

U.S. interest rates are currently much higher than in Europe and Japan, and with neither the European Central Bank nor the Bank of Japan planning any rate hikes this year, foreign capital seeking higher returns could put a lid on rate rises here.

In fact, currency markets now are helping the central bank in that regard, since a stronger currency essentially has the same effect on the economy as higher interest rates because it will reduce exports and corporate profits.

Bets the European Central Bank might consider raising interest rates by the end of 2018 due to evidence of higher inflation and business activity in the euro have lifted the euro, which was poised for its best yearly performance versus the greenback in 14 years.

That takes pressure off the central bank to cut interest rates, an important development as policy makers reiterated that «financial vulnerabilities continue to edge higher.»

The central bank has concerns about the ability of households to keep paying down their high levels of debt when interest rates continue their rise, as is widely expected over the coming months.

Poloz said there is good reason to believe the central bank can manage the risks of Canada's high household debt, even as he signaled that interest rate hikes will continue, increasing the cost of that debt.

The central bank, which has raised its benchmark interest three times since last summer, has said it is carefully monitoring the economy's sensitivity to higher interest rates.

If central banks had targeted higher average inflation, on the other hand, interest rates would also have been higher, allowing central banks more space to slash rates to keep the economy functioning.

We anticipate higher interest rates across the yield curve as North American central banks normalise monetary policy amid slowly returning inflation.

Central banks have been the only game in town for years now, driving asset prices higher with the help of interest rate cuts and quantitative easing (QE) programs.

That will be important to private investors, because if the central bank held itself out as a privileged bondholder, effectively passing more risk on to other bond holders, other buyers might undermine the stimulus program by demanding higher interest rates.

Because the stock of reserves is so high, central banks pay «interest on reserves» (IOR) to influence market interest rates.

Recently, there has been some discussion, prompted by senior staff at the International Monetary Fund (IMF), that central banks might aim for high inflation — say 4 per cent — as a way of giving them more scope to reduce official interest rates in future downturns.

Entering 2017, few strategists» calls were as unanimous as the view that the U.S. dollar, already at a 14 - year high, would strengthen because the Federal Reserve was hiking interest rates while other central banks remained accommodative.

Precious and Industrial Metals Inflation concerns, geopolitical tensions and interest - rate levels, especially real yields, contributed to a 1.7 % rise in the spot price of gold (to US$ 1,325 per troy ounce), as did swings in the US dollar.1 Gold prices traded within the US$ 1,305 — 1,360 range throughout the period, reached 18 - month highs in March and capped their third straight quarterly gain, a feat not seen since 2011.1 Haven demand was a key support as exchange - traded gold holdings of 2,269 metric tons (mt) neared a five - year high.1 The Fed is widely expected to boost borrowing costs, and investors have been carefully watching the central bank's statements to see whether it targets more rate increases in 2018 than previously projected.

The Fed's dovish stance, in conjunction with continued stimulus from the European Central Bank and the Bank of Japan's adoption of negative interest rates in January, has helped drive equity markets higher since mid-February.

China's yuan is forecast to weaken just 2 percent this year as the central bank lowers its midpoint fixings and the dollar rises in anticipation of higher interest rates in the United States.

In contrast to the steady and ongoing language for higher US interest rates from the US central bank, the RBA has reiterated the need for cash rates to remain at historic lows for a while yet.

A further complication I struggle with is that high inflation in the past has met with aggressive interest rate rises as the Central Bank realises it is badly behind the curve.

For three - straight years — between 2014 and 2016 — the greenback surged higher as the Fed ended «QE3,» the stimulus program that had the U.S. central bank buying as much as $ 85 billion worth of government bonds per month, and did away with the zero - interest - rate policy that was in place since the financial crisis.

The central bank obediently issued GKOs (government treasury bills) paying interest rates higher than 100 per cent annually, subsequently scaled back to a more «Latin American - type» level of about 25 percent.

BOE's Carney Suggests Falling Unemployment Doesn't Mean Rates Will Rise Bank of England Gov. Carney said the U.K. central bank will look at a broad range of economic factors when assessing the need for higher interest rates, a sign that officials may be preparing to play down the link between BOE policy and falling unemployRates Will Rise Bank of England Gov. Carney said the U.K. central bank will look at a broad range of economic factors when assessing the need for higher interest rates, a sign that officials may be preparing to play down the link between BOE policy and falling unemploymBank of England Gov. Carney said the U.K. central bank will look at a broad range of economic factors when assessing the need for higher interest rates, a sign that officials may be preparing to play down the link between BOE policy and falling unemploymbank will look at a broad range of economic factors when assessing the need for higher interest rates, a sign that officials may be preparing to play down the link between BOE policy and falling unemployrates, a sign that officials may be preparing to play down the link between BOE policy and falling unemployment.

LONDON (AP)-- European stock markets dipped Thursday while the euro struck two - week highs against the dollar after the European Central Bank left its key interest rates unchanged and decided against extending the duration of its bond - buying stimulus...

Bank of Canada Governor Carney stated last week that the Central Bank would try to reduce household debts by offering higher interest rates.

When interest rates are already high, the central bank focuses on lowering the discount rate.

In response to the threat from inflation, which in August of this year reached a 16 - year high, Mexico's central bank sharply tightened monetary policy, increasing interest rates at seven consecutive meetings up to June.

The thesis is that the global economy has shifted into high - growth mode and therefore the demand for commodities will rebound as inflation finally begins to take hold and central banks accelerate interest rate hikes.

Indeed, if a bubble was particularly large and persistent, a central bank that used the cure of higher interest rates could end up causing the very economic damage it was trying to prevent.

Japan does have a more dynamic economy and an independent central bank, which will surely help the country control inflation, but Rothschild's Giovanni Ughi reminds us that interest rates are already on the floor and taxes already high!

He noted that the economy is saddled with increasing inflation, high interest rates, declining real GDP growth, massive increase in the public debt stock, huge and increasing central bank financing of government, etc..

Central to any settlement is a pledge by the big banks to lend about # 200bn to British companies this year and for a net lending target for SMEs — small - to medium - sized companies — which have been feeling the credit squeeze and high interest rates most acutely.

Inflation is picking up an interest rates are going higher as central banks around the world start to hike rate

Sooner or later there will be a moment when the central bank will need to change its forward guidance, change from lower interest rates to higher interest rates.

It includes conditions like the one after a high economic growth period leading to high inflation and fears of slowdown, or during uncertain times when the central bank is expected to increase interest rates.

The global cycle and central bank policy point to higher interest rates ahead.

In fact, currency markets now are helping the central bank in that regard, since a stronger currency essentially has the same effect on the economy as higher interest rates because it will reduce exports and corporate profits.

However, high yielding stocks are a VERY crowded trade because the Central Banks have kept interest rates low, probably in large part to facilitate servicing of the national debts and to allow the investment banks to recapitalize and at least partially recoup their bad leveraged Banks have kept interest rates low, probably in large part to facilitate servicing of the national debts and to allow the investment banks to recapitalize and at least partially recoup their bad leveraged banks to recapitalize and at least partially recoup their bad leveraged bets.

Additionally, the search for yield in the low interest rate environment that central banks across the globe have created has prompted many investors to chase stocks and neglect precious metals in hopes of higher rates of return on their capital.

Lenders gave loans to people with poor credit and a high risk of default because central banks tried to stimulate the economy with lower interest rates and increasing demand for mortgages.

Last week, the central bank revealed that the percentage of high - risk households, or homes where 40 % of income is allocated to paying down debt, would jump through the roof by 2012 thanks to rising interest rates.

Not surprisingly, central banks always target money growth, not interest rates, when inflation is high.

MEXICO CITY Mexico's central bank is expected to hold its benchmark interest rate steady this week at a nine - year high after data showed the pace of consumer price gains easing, a Reuters survey showed on Monday.

high interest rates are positively correlated to high bond yields because the two are basically the same thing (one determined by central banks, the other by the market)