Analysis: Interest Rates

Fed seen cutting rates amid virus threat, low inflation

The Federal Reserve may need to move aggressively to cut borrowing costs to cushion the economy from the effects of the rapid spread of the new coronavirus, which sent global stocks tumbling this...

Coronavirus hit brings home Italy risks for yield-seeking bond investors

A coronavirus outbreak that may tip Italy into recession also threatens hefty losses for fund managers who have been overlooking a multitude of risks to invest in one of the few euro zone bond markets...

Markets bet Fed is pushed to cut rates in coronavirus response

Financial markets on Monday ratcheted up bets the U.S. Federal Reserve will be pressed to cut interest rates to cushion a feared hit to economic growth from the spread of the coronavirus, although one...

Goldman Sachs pleads not guilty in Malaysia over 1MDB bond sales: state media

Three units of Goldman Sachs pleaded not guilty to charges of misleading investors regarding $6.5 billion in bond sales that the U.S. investment bank helped raise for state fund 1Malaysia Development...

Indonesia central bank intervenes in FX, bond markets amid capital outflows

Indonesia's central bank has intervened in the spot currency, domestic non-deliverable forward and bond markets amid outflows related to fears of the spread of COVID-19 in South Korea, an official...

ECB watching for unwanted side effects of negative rates - Lane

European Central Bank chief economist Philip Lane defended his bank's experiment with negative interest rates on Friday but said he was aware of the risks and the ECB was watching for unwanted side...

World Bank pandemic bond under pressure as coronavirus spreads

A World Bank bond designed to deliver funding to help the world's poorest countries to tackle fast-spreading diseases has lost half its value as the coronavirus outbreak in China has fanned fears that...

Zimbabwe central bank leaves rates unchanged, bullish on inflation

Zimbabwe's central bank left its benchmark interest rate at 35% on Monday, citing moderating inflation, as it looks to print more local currency and limit the use of foreign currencies.

ECB negative rates not harmful, but inflation rise to stay elusive - Reuters poll

The European Central Bank's negative interest rate policy is not harming the euro zone economy but will not succeed in bringing inflation up to the central bank's target, a Reuters poll of economists...

Rise of the intangibles is pushing down on central bank rates - BoE's Haskel

The growth of intangible assets, such as brands and technology, is helping to keep central bank interest rates low, according to one of the Bank of England policymakers who has voted recently to cut...

Fed's Harker says central bank should hold rates steady for a while

The U.S. economy is in good shape and the Federal Reserve should hold rates steady for the time being, a top Fed official said on Monday.

Swedish central bank set to keep rates steady on Feb. 12, and through 2021: Reuters Poll

Sweden's central bank is expected to keep its benchmark interest rate at zero at a policy meeting next week and is not expected to alter its stance for the foreseeable future, a Reuters poll showed on...

Thailand cuts rates as spreading virus puts Asia central banks on guard

Thailand's central bank unexpectedly cut its benchmark interest rate for a third time in six months on Wednesday, taking it to a record low as a virus spreading from China puts further pressure on the...

Philippine central bank to resume cutting rates despite rising prices - Reuters poll

The Philippine central bank is expected to cut interest rates on Thursday, taking advantage of benign inflation to buttress the economy against the negative impact of the spreading virus outbreak, a...

Sensing a pick-up, BoE keeps rates steady as Carney bows out

The Bank of England kept interest rates steady at Governor Mark Carney's final policy meeting as it saw signs of a post-election pick-up in growth which weakened the case for immediate action to help...

Japan plans new rates for benchmark to replace Libor by mid-2021 - BOJ

Japan will aim to start releasing rates for a new benchmark that will replace the London Interbank Offered Rate by the middle of next year, Bank of Japan Deputy Governor Masayoshi Amamiya said on...

Fed keeps rates steady, to tailor Treasury bill purchases later this year

The Federal Reserve held interest rates steady on Wednesday at its first policy meeting of the year, with the head of the U.S. central bank pointing to continued moderate economic growth and a strong...

UK consumers remain cautious as BoE meets on rates

British retail sales flat-lined in late December and early January, according to a survey that showed no change in weak consumer spending ahead of the Bank of England's finely balanced decision...

U.S. new home sales fall unexpectedly, low mortgage rates lend support

Sales of new U.S. single-family homes fell unexpectedly in December, likely held down by a shortage of more affordable homes, but lower mortgage rates supported the overall housing market.