Sentences with phrase «on inflation targeting»

Isn't it time for the Treasury to think «out of the box» on inflation targeting?

This is particularly important given that our monetary policy is based on inflation targeting.

«In the U.S., this obsession on inflation targeting has lately been taken to a new level as former Fed Chair Ben Bernanke has floated the idea of a price - level targeting mandate for the Fed.

If the effectiveness of macroprudential policies could be relied on, would that mean that monetary policy is off the hook, allowing the Bank to focus on its inflation target and leave macroprudential policies to take care of financial stability?

I have talked about this at length elsewhere, and I am sure that informed people are well acquainted with the current monetary policy regime in Australia, which is based on an inflation target, an independent central bank and a floating exchange rate.

Not exact matches

Even if Canada doesn't start dropping payloads of cash itself — something Cooper says he does not foresee in the next three years, at least — the ripple effect of a central bank explicitly targeting higher inflation and adopting formerly verboten measures to get it would be felt on these shores in the form of increased global volatility.

NEW YORK, May 2 - U.S. stocks edged higher while the dollar and Treasury yields fell on Wednesday after the Federal Reserve held interest rates steady and said inflation had «moved close» to its target.

The occasion for the release was the end of the Bank of Canada's latest review of whether it is on track to hit its inflation target.

NEW YORK, May 2 - U.S. stocks fell on Wednesday as investors digested a statement from the Federal Reserve, which left interest rates steady and said inflation had «moved close» to its target, while the dollar climbed late against a basket of currencies.

Stanford says Morneau and the Bank of Canada should use the mandate review to «put everything on the table,» and take a hard look at adopting a completely different target, such as job creation or «sustainable growth» instead of inflation.

CNBC's Steve Liesman reports on the possible interest rate hike after the Fed met both goals with a strong jobs report and an inflation target of two percent.

«If they do target aggressively the 2 percent inflation target, and undertake a significant amount of QE, that may have an impact on underlying JGB (Japanese government bond) yields as investors become concerned over Japan's debt,» he said.

Asian shares closed mixed on Thursday as U.S. - China trade talks kicked off and investors digested an acknowledgment by the Federal Reserve that inflation had moved nearer its target.

But inflation remains distant from the BOJ's 2 percent target as companies hold off on raising prices and wages, citing uncertainty over the economic outlook.

NEW YORK, May 2 (Reuters)- U.S. stocks edged higher while the dollar and Treasury yields fell on Wednesday after the Federal Reserve held interest rates steady and said inflation had «moved close» to its target.

WASHINGTON, May 2 - The Federal Reserve held interest rates steady on Wednesday and expressed confidence that a recent rise in inflation to near the U.S. central bank's target would be sustained, leaving it on track to raise borrowing costs in June.

Nevertheless, when making interest rate policy in early March, BoC governor Mark Carney overlooked rising pressures on inflation and left the central bank's target for Canada's overnight rate at 1 %.

The central bank expressed confidence that a recent rise in inflation near to its target would be sustained, leaving it on track to raise borrowing costs in June.

U.S. data on Monday showed that consumer prices accelerated in the year to March, with a measure of underlying inflation surging to near the Federal Reserve's 2 percent target as last year's weak readings dropped out of the calculation.

John Canally, chief economic strategist for LPL Financial, said the language may continue to be used in coming months «as transition words» until «it becomes clear to FOMC members that the overall economy, the labor market, and inflation are well on their way toward hitting the FOMC's targets.»

Economists expect the Fed will raise rates at least once this year, based on a view of an improving U.S. jobs market and the central bank coming under pressure to keep inflation from rising well above its 2 % target.

Its rate - setting committee said inflation had «moved close» to its target and that «on a 12 - month basis is expected to run near the Committee's symmetric 2 percent objective over the medium term.»

That insight, as obvious as it may seem, conflicts with the Fed's policy of raising interest rates preemptively, even as inflation continues to undershoot its target, essentially on concerns that a 17 - year - low 4.1 % jobless rate may already be beyond what officials consider «full employment.»

Schembri defines the neutral interest rate as «the interest rate consistent with the economy growing at its potential and inflation staying on target.

Analysts said the use of the word «symmetric» suggests that the Fed may allow inflation to run above its 2 percent target, a stance that would limit the need for the central bank to embark on a more aggressive path of monetary tightening in response to recent rises in inflation.

Brainard now believes the Fed should move slower on rate hikes and even allow inflation to run above the 2 percent target for a while.

My own view is that we should be cautious about tightening policy further until we are confident inflation is on track to achieve our target.»

Speculation on further easing has been growing since Draghi's last press conference in October, when he expressed concern about fresh risks to the economy from the slowdown in China and other emerging markets, and about the stubborn refusal of inflation to come back to its targeted level of just under 2 %.

On Thursday, Kocherlakota forecast inflation to stay below the Fed's 2 - percent target until 2018, a sign that the country is not taking full advantage of its resources.

The open - ended program will not start until next year and central bankers were divided on the new 2 percent inflation target, with two of the central bank's nine policymakers voting against the move.

The spotlight in Asia fell on the BOJ, which doubled its inflation target to 2 percent and adopted an open - ended commitment to buy assets, surprising markets that had expected another incremental increase in its 101 trillion yen ($ 1.12 trillion) asset - buying and lending program.

On the other side of the mandate, the Fed's preferred measure of inflation is below target at around 1.3 percent.

In what is widely seen as a watershed moment, the Bank of Japan on Tuedsay doubled its inflation target to 2 percent and made an open - ended commitment to buy assets from next year, surprising markets that had expected another incremental increase in its $ 1.1 trillion asset - buying and lending program.

«We still see U.K. inflation being clearly on the way up with the 2 percent target being reached in (the first quarter of) 2017 as exchange rate pass - through continues,» RBC analysts posited in a note on Tuesday morning.

His comments suggest the ECB remains confident that inflation is finally on an upward trend, supporting market expectations for the bank to finally end its bond purchase programme this year, satisfied that inflation will eventually hit its nearly 2 percent target.

On inflation running below the Fed's target, Yellen said that though inflation is running below its target, a «small undershoot» of the Fed's employment target should facilitate inflation moving back towards that target.

See Renewal of the Inflation - Control Target: Background Information — October 2016 for more information on these measures.

The inflation section contains a brief description of the measures of inflation the Bank of Canada monitors, and provides links to inflation data, the agreement on the inflation - control target, and related research and publications.

December 2009 (1967 kb PDF file): The Q&A in this issue features seven questions about political influence and the financial crisis (by Deniz Igan, Prachi Mishra, and Thierry Tressel); research summaries on «Credit Conditions and Recoveries from Financial Crises» (by Prakash Kannan) and «Inflation Targeting in Emerging Economies» (by Turgut Kýþýnbay); the contents of the latest issue of IMF Staff Papers; a listing of visiting scholars at the IMF during October — December 2009; and listings of recent IMF Working Papers and Staff Position Notes

«This progress reinforces governing council's view that higher interest rates will be warranted over time, although some monetary policy accommodation will still be needed to keep inflation on target.»

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.

Given these positive surprises, and because monetary policy must be forward - looking to achieve our inflation target, Governing Council's discussions focused on three main issues: first, the extent to which recent strength is signalling stronger economic momentum in Canada and globally; second, how heightened levels of uncertainty, particularly about US tax and trade policies, should be incorporated in our outlook; and third, how much excess capacity the economy currently has, and the growth rate of potential output going forward.

The spread on the nominal less inflation - indexed rates for both the five - and 10 - year maturities remains above 2.0 % — a sign that the crowd expects that hard data on inflation will hold at or above the Fed's target in the near term.

The inflation wars of the 1970s and 1980s led to a broad consensus on two fronts among academics and policymakers: First, central banks are responsible and accountable for price stability, which was often acknowledged through the formal adoption of an inflation targeting framework.

The last dot shows where the rate is today — close to zero (~ 40 bps)-- which is where it should be IMHO as we're not yet at full employment and there's no worrisome signs of overheating; inflation remains quiescent such that the Fed keeps missing their 2 % inflation target on the downside.

The Federal Reserve left its benchmark rate unchanged late on Wednesday, acknowledging inflation is close to target without indicating any intention to veer from a gradual tightening path.

The US Dollar was boosted overnight by prospects of Fed continuing the path of gradual monetary policy normalization in light of inflation in the US approaching the targeted levels but retreated somewhat during the European trading on Thursday on profit - taking.

Total CPI inflation remains near the bottom of the Bank's target range as the disinflationary effects of economic slack and low consumer energy prices are only partially offset by the inflationary impact of the lower Canadian dollar on the prices of imported goods.

Not only have you missed your 2 % inflation target every quarter since 2012q2, but as the figure shows (using revised data on yr / yr PCE core inflation) you're missing it on the downside by a greater margin over time.

In the current context, getting the economy back to full capacity with inflation on target is central to supporting financial stability over the longer term.