Developing policies to address questions that arise in the face of population ageing is a huge challenge for governments because there is no precedent.
The ECB’s bond purchases could lead to a scarity of government bonds. Sovereign issuance in the eurozone was strong early this year but it will shrink.
Recent events have seen a sharp reversal of market trends, with the PBOC cutting benchmark interest rates and the ECB’s tightening of financial conditions.
Portfolio rebalancing is occurring slowly. This shows that the effects of QE are happening gradually, and not that QE is having a less desired impact.
Assets managed by official institutions have risen significantly in recent years making them a powerful force in financial markets. A […]
We are more than a quarter of the way into the year which has promised much in the way of […]
Weaker-than-expected US data in Q1 and broadly lower sovereign yields has fixated fixed income investors on how the FOMC will react to the recent data.
Spring is here. Equity markets are soaring, the euro is falling. It would appear that the European Central Bank (ECB) […]
US economic data—which had already been trending weaker—came in even worse than expected on Friday, April 3, with a disappointing […]
Since the end of the Bretton Woods exchange rate regime in 1973, the US dollar has undergone protracted periods of […]
Will the recent decline in inflation impact the path of US monetary policy rates in the near term? Inflation has […]
On March 18, the Federal Open Markets Committee (FOMC) statement came in firmly in line with market expectations, with the […]
The efficient market hypothesis (EMH), which posits that market prices fully reflect all available information, has inspired a lot of […]
The first week of March’s economic data releases essentially represent the final nails in the coffin for the Federal Open […]
The Federal Reserve Act requires the Federal Reserve Board to submit written reports to Congress containing discussions of “the conduct […]
The ECB has, for the first time, published an account of a monetary policy meeting held by its governing council. In so doing the ECB joins the ranks of other leading central banks and provides greater transparency on the factors affecting its decision making.
Summary Bund yields are now at levels implying that the eurozone has gone ‘Japanese’. We think this conclusion is premature. […]
Here at FFTW, we came into 2015 believing that a host of structural factors would serve to keep the global […]