China’s plan to replace previous local government debts with higher interest rates with municipal bonds that come with a lower rate and longer terms of repayment has not been effectively implemented, said two officials working at the Chinese central bank. Source Want China Times
he Bundesbank president has in the past opposed the ECB’s bond purchasing programmes, which were implemented during the region’s financial crisis to alleviate strains on the economy and financial system. But he told German weekly Die Zeit on Wednesday that the programmes fell within the central bank’s mandate. Source: The Irish Time
Speaking to CNBC Wednesday, ECB Vice President Luis de Guindos added to Draghi’s comments and outlined some possible measures the central bank could implement. The ECB foresees “lingering softness” in the short term, in particular due to geopolitical factors and trade conflicts. The European Central Bank’s (ECB) vice president said another large bond-buying program could be an option if inflation in the region doesn’t reach its intended target. Source: CNBC
The US central bank has opened the door to an interest rate rise, in a shift in guidance that follows criticism by President Donald Trump. The Federal Reserve left rates on hold, but said uncertainties about the economic outlook could force its hand. According to the vote, one Fed policymaker advocated an immediate cut, something the president has called for. Source: BBC
