BOC: BOC Publishes Review Of Extraordinary Pandemic Actions
Jan-17 16:00
- An external panel was commissioned by the Bank to assess its exceptional policy actions during the pandemic which included former Bank of Spain Gov Pablo Hernandez de Cos, MIT's Prof Kristin Forbes and University of Calgary's Prof Trevor Tombe.
- In the future, BOC said it will be clearer about the limited times it will buy large-scale assets to guard against moral hazard. It will also clearly distinguish the purpose i.e. market stimulus vs. market functioning.
- "The Bank could link the size and pace of purchases, as well as the end of QE, more clearly to the inflation outlook."
- If it needs to use extraordinary forward guidance in the future, BOC said the conditions will be clearly tied to the inflation outlook and this will be emphasized more often in its communications.
- The panel noted the need to improve forecasting tools. BOC said it begun work on its next generation of economic models including supply chains in production.
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US: Conservative Republicans Back 'Two-Step' Reconciliation Plan
Dec-18 15:49
Senator Rick Scott (R-FL) and a group of Trump-aligned Republican lawmakers have co-signed a letter to House Speaker Mike Johnson (R-LA) and incoming Senate Majority Leader John Thune (R-SD) outlining their roadmap for legislation in 2025.
- The proposal tracks closely with Thune’s plan to divide President-elect Donald Trump’s agenda into two large reconciliation bills, with the first to focus on immigration and the second on tax. The two-step plan has been criticised by some senior Republicans, including Ways and Means Committee Chair, Jason Smith (R-MO) - the top tax writer in the House - for putting tax reform at risk of delays and legislative logjam.
- The letter, acknowledging that "success is far from guaranteed,” asserts that a two-step reconciliation process presents the best chances of passing border security legislation.
- In the border bill, the letter calls for four years of funding to “complete and strengthen” the US-Mexico border wall, thousands of additional border agents to “apprehend and remove migrants,” and increased detention capacity. It also calls for encouraging self-deportation by imposing financial penalties on illegal migrants.
- The group says the second bill should prevent a "massive tax increase" if Trump's first-term tax cuts are allowed to lapse on January 1, 2026 and should "reduce the deficit by including necessary spending reforms and cuts.”
- The letter argues that offsets can be achieved by repealing the IRA green tax credits and from an “estimated $2.5 trillion worth of cuts that the Department of Government Efficiency will identify...”
MNI EXCLUSIVE: MNI: Fed Framework Review To Hone QE Objectives - Ex-Officials
Dec-18 15:39
Ex-Fed officials and economists discuss the use of asset purchases in the framework.- On MNI Policy MainWire now, for more details please contact sales@marketnews.com
MNI: US EIA: CRUDE OIL STOCKS EX SPR -0.93M TO 421.0M DEC 13 WK
Dec-18 15:30
- US EIA: CRUDE OIL STOCKS EX SPR -0.93M TO 421.0M DEC 13 WK
- US EIA: DISTILLATE STOCKS -3.18M TO 118.2M IN DEC 13 WK
- US EIA: GASOLINE STOCKS +2.35M TO 222.0M IN DEC 13 WK
- US EIA: CUSHING STOCKS +0.11M TO 23.0M BARRELS IN DEC 13 WK
- US EIA: SPR +0.52M TO 393.0M BARRELS IN DEC 13 WK
- US EIA: REFINERY UTILIZATION WEEK CHANGE -0.6% TO 91.8% IN DEC 13 WK
