Should central banks adapt to a changing economy?
Should we change the inflation target? If inflation is permanently higher and for an extended period, central banks will quickly feel cramped with a 2% target. The economy changes radically…
Philippe Waechter's blog
The ECB new strategy
The ECB is changing course. With its interest rate hike scheduled for 21 July, the ECB is putting an end to a long period of very low and stable interest…
Inflation risk wins over investors
Twenty days after the invasion of Ukraine by Russia, the risk of inflation takes precedence over the risk of slowing activity in the perception of investors.At her press conference, Christine…
Should the ECB become aggressive?
The ECB, after Christine Lagarde’s remarks at the February 3 press conference, is following in the footsteps of the Fed. Like the US central bank, the ECB has changed its…
2 remarks on Monetary Policy
The Bank of England raised its benchmark interest rate by 25 basis points to 0.5%. The trend is still bullish for the next meeting since 4 members of the monetary…
January 2022 inflation invalidates a restrictive ECB monetary policy bias
The day before the ECB meeting, the January 2022 inflation figure sheds light on the question of monetary policy. Should it be a little restrictive or should it maintain the…
The Federal Reserve takes over
At its January 25-26 meeting, the US central bank confirmed that it would raise interest rates as of its mid-March meeting. Above all, it indicated that very soon after it…
Inflation continues, the Fed could weigh on growth
US inflation is mainly conditioned by the pace of the price of goods and that of oil. The rush of households on goods, while inventories were reduced, is the source…