# monetary%20policy
Latest news and articles about monetary%20policy
Total: 17 articles found
Fed Uncertainty Sends Metals Tumbling as Techs Rally Around Apple Event Hype
US stocks staged an intraday V-shaped recovery to close slightly higher while precious metals plunged after Fed comments dampened hopes for imminent rate cuts. Apple’s March product event lifted its stock and highlighted on-device AI ambitions, even as the CME probabilities and Fed messaging keep investors cautious about near-term monetary easing.
China’s Credit Surge and Low Borrowing Costs Propel a Steady Start to 2026
China opened 2026 with a notable expansion of credit and money supply: January M2 grew 9.0% year‑on‑year while social financing rose 8.2%. Government bond issuance and a significant rise in bank lending—particularly medium‑ and long‑term corporate loans—underpinned the pickup, while financing costs remained low, supporting firms and infrastructure projects.
PBOC to Inject ¥1 Trillion via Six‑Month Buyout Reverse Repo to Bolster Bank Liquidity
China’s central bank will inject ¥10 trillion via a six‑month buyout reverse repo on 13 February to ensure ample banking liquidity. The move provides durable, medium‑term funding and signals a continued, measured easing stance aimed at supporting financing conditions and stabilising the economy.
PBOC Keeps Policy Loose but Targeted: Cushioning Growth while Nudging Prices Up
The People’s Bank of China has reaffirmed a policy of moderate monetary easing, combining new measures with existing tools to support growth and a gradual rebound in prices. The bank is steering credit toward technology, small firms, green projects and consumption while monitoring liquidity through a wider lens that merges deposits and managed assets.
PBOC Sticks to ‘Moderate Ease’ as Liquidity Fuels Market Rally and a Memory-Price Surge
China’s central bank has reiterated a ‘moderately loose’ stance, with room to cut reserve requirements and interest rates, underpinning a surge in liquidity that is lifting markets and prompting renewed investment in sectors from memory chips to low‑altitude communications. The policy posture is encouraging private fund growth and corporate capital raising, but it also raises the prospect of speculative excess that regulators are already monitoring.
China’s Consumer Prices Tick Up as Factory Deflation Eases — But Underlying Dynamics Remain Mixed
January data show China’s headline CPI barely rose, held down by a strong base from last year’s Lunar New Year and falling food and energy prices. Core inflation and monthly PPI gains point to improving domestic demand and selective industrial recovery, but producer‑price weakness persists, leaving policymakers balancing support for growth with price stability.
Trump Admits Powell Was a ‘Mistake’ as He Elevates Kevin Warsh and Deepens Fed Fight
In a televised interview, Donald Trump said appointing Jerome Powell as Fed chair during his first term was a mistake and has nominated former governor Kevin Warsh as Powell’s successor. The nomination and a parallel DOJ inquiry into the Fed have escalated political pressure on central‑bank independence and raised questions about policy direction, market stability and the Senate confirmation fight ahead.
Small Chinese Banks Raise Deposit Yields Ahead of Lunar New Year, but Gains Look Transient
Ahead of the Lunar New Year, city and rural commercial banks in China have rolled out limited‑time, high‑minimum deposit products with three‑year yields up to about 2%, outpacing offers from larger banks. The moves are tactical attempts to capture year‑end cashflows and shore up funding, but they are localized, come with restrictions, and are unlikely to signal a sustained rise in nationwide deposit rates.
Gold and Silver Plunge Sparks Market-Wide Shock as Exchanges Tighten Controls
A dramatic sell-off on February 2 sent gold and silver tumbling and forced exchanges in China and abroad to raise margins and restrict trading. Regulators cited abusive trading and liquidity risks, while analysts warn the move reflects sentiment-driven flows and policy-related uncertainty rather than purely fundamentals.
Trump Picks Kevin Warsh for Fed Chair — a Hawkish Choice That Stokes Market Jitters
President Trump has nominated Kevin Warsh, a former Fed governor and Wall Street banker, to be Federal Reserve chair. Markets moved sharply on the news as investors priced in a more hawkish US monetary stance, while the nomination raises questions about Fed independence and global spillovers from tighter US policy.
Fed Holds Rates Steady after Prior Easing, Spotlighting Policy Uncertainty
The Federal Reserve kept its policy rate at 3.50%–3.75% and signaled a cautious, data‑dependent approach after three rate cuts in late 2025. A 10–2 vote to hold, with two officials favoring an immediate 25‑basis‑point cut, exposed internal disagreement over how quickly to ease further amid still‑elevated inflation.
Powell Urges Next Fed Chair to Steer Clear of Politics as White House Pressure and DOJ Inquiry Intensify
At a Jan. 28 press conference, Fed Chair Jerome Powell urged his successor to distance the Federal Reserve from partisan politics as the bank held rates steady. Powell defended the Fed’s independence amid public hostility from President Trump and a Justice Department probe into a Fed headquarters renovation that has added legal uncertainty to the leadership transition.