North America

  • 2020-01-29 15:04


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: I'm wondering, do you think that there is a financial stability risk from climate change? You've spoken several times that you think severe weather events are happening more often and that the Fed is monitoring what that could physically do to a bank or a financial institution, but that's sort of one institution. Do you think there is a system-wide risk that could develop from climate change?

    A: So, that's an interesting question. The question being is there a system-wide financial stability risk. I would say, over the longer term it's certainly possible.

  • 2020-01-29 15:00


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: Where do discussions stand on standing repo, that was great, and the other thing is on the standing repo facility, and then on the purchases, the treasury bill purchases, as you enter this new regime later in the second quarter or later in the year, will there be pre-set amounts like you're doing now or that will be something people will have to intuit and figure it out as we go along.

    A: I'll go in reverse order, when we make decisions about the steps we take in the adjustment process that I described in some length, we'll be making them as early and transparent as we can, and specifically, but we're not at th

  • 2020-01-29 14:58


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: As recently as 2018, interest on excess reserves was at the top of the band, sort of dragging the Fed Funds Rate up. Over the course of the adjustment since last year, it's moved steadily down closer to the bottom of the band, so if you're moving it back up, how high do you want to get it? Are we looking to get interest on excess reserves at the top of the band again as the Fed Fund Rate moves to the middle of the band?

  • 2020-01-29 14:56


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: Going back to outlook for global growth, we've seen significant headwinds as you said earlier with the partial U.S./China trade deal but now that there are now concerns following the outbreak of the coronavirus it might shake global growth and we're seeing reports from Ford and Toyota they're planning to shut down assembly for an extra week, Apple is recruiting supply chains, Starbucks is closing down several stores. Are you worried about the impact of the U.S.

  • 2020-01-29 14:53


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: In terms of the review on Chris' question earlier, there was a general feeling now in the markets and among analysts that you're basically setting us up for some form of inflation target averaging where you let the inflation rate run above the 2% target for some time to make up for the time that it is spent below that. Is that a fair or reasonable assessment of where you think you're going to end up?

  • 2020-01-29 14:48


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: I was hoping you could talk a little bit about the labor market. We've recently seen wages moderating a little bit by some measures, and maybe even declining a little by others. And as you mentioned at the lower end of the sort of talent pool, it seems like we are seeing those wages climb up a little bit, but it doesn't seem to be consistent across the entire sort of average. I was wondering if you could talk a little bit about whether you guys are noticing any cracks or how you're think being that.

    A: The labor market conditions to perform well, the labor market continues to be strong.

  • 2020-01-29 14:47


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: I want to ask about the balance sheet. How many reserves are ample? How many reserves does the Fed now think it will need to conduct policy in the current framework, and can you walk me through how you and your colleagues are arriving at that answer?

    A: Sure. Thanks for that question. Why don't I say a few things about repo because that will be of interest. To bring you back after September's brief turmoil we took brief and prompt action and as a result money markets are operating smoothly since then.

  • 2020-01-29 14:46


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: You said not QE, but 390 billion dollars over 5 months which is a lot to expand the balance sheet, and I guess I'd ask one more time on Nick's question, is there a number that you have in mind? Secondly, a lot of people in the market are sort of concerned that it looks like QE and they're trading that way.

  • 2020-01-29 14:40


    WASHINGTON (MNI) - The following is the portion of a transcript from Federal Reserve Chairman Jerome Powell's press conference after the FOMC meeting Wednesday:

    Q: Please comment on a small change in the statement. It notes that policy will be appropriate to bring, the committee believes, inflation back to the committee's 2% symmetric inflation objective. That's a slight change from the last time when you were expecting it to bring inflation outcomes back near the objective, and I would put this also in the context of a comment you made at the last press conference where you drew attention to the fact that a number of policymakers had projected inflation overshoots two and three years out under appropriate monetary policy.

  • 2020-01-27 11:50


    --Statistics Canada Makes Annual Revision to Labour Force Survey

    OTTAWA (MNI) - Canada's job market wasn't as bad as thought late last year with revisions Monday showing the November decline is no longer the steepest in a decade, a potential relief to a central bank that signaled it may cut rates because of persistent weakness.

    Statistics Canada published annual revisions paring the November drop in jobs to 54,400 from the original report of 71,200, which was the largest since the last recession in 2009. The revised figure is now the largest job decline since January 2018, according to MNI calculations using StatsCan's data.

    The December job gain was marked down to 27,300 from 35,200, Statistics Canada said.