Latest Central banking News

Fed survey finds US economy being hurt by trade battles

Oct. 16, 2019 6:46 PM EDT

WASHINGTON (AP) — The U.S. economy expanded at a modest pace in September and into October, despite rising trade tensions and weaker global growth that hampered manufacturing, and adverse weather hitting farmers. In its latest assessment of business conditions around the country, the Federal Reserve...

JPMorgan Chase 3Q profits up 8% but loan growth slows

Oct. 15, 2019 2:29 PM EDT

NEW YORK (AP) — JPMorgan's third-quarter profit grew 8% thanks to higher interest rates and strong performance at its investment banking business. Recent upticks in yields in the U.S. bond market have allowed banks to charge higher interest rates on their loans, particularly at JPMorgan with its large...

IMF downgrades outlook for world economy, citing trade wars

Oct. 15, 2019 11:49 AM EDT

WASHINGTON (AP) — The International Monetary Fund is further downgrading its outlook for the world economy, predicting that growth this year will be the weakest since the 2008 financial crisis, primarily because of widening global conflicts. The IMF's latest World Economic Outlook released Tuesday foresees...

Fed plans more Treasury purchases to control lending rates

Oct. 11, 2019 1:39 PM EDT

WASHINGTON (AP) — The Federal Reserve said Friday that it will buy short-term Treasury bills each month until the second quarter of 2020 to inject cash into the banking system and make it easier to control its benchmark lending rate. The action marks the Fed's latest response to a shortage of cash reserves...

New California law will cap consumer loan interest rates

Oct. 10, 2019 10:57 PM EDT

SACRAMENTO, Calif. (AP) — California Gov. Gavin Newsom has signed a law capping interesting rates on consumer loans. It's a measure designed to stop predatory lending in which some lenders charge interest rates in the double digits. The Democratic governor announced Thursday he signed the law, which takes...

Fed approves rules loosening Dodd-Frank bank restrictions

Oct. 10, 2019 5:02 PM EDT

WASHINGTON (AP) — The Federal Reserve is easing restrictions imposed on banks following the 2008 financial crisis, giving a victory to the banking industry and President Donald Trump. The Fed on Thursday approved a set of rule changes that implement legislation passed by Congress last year to loosen...

European Central Bank minority opposed bond-buying stimulus

Oct. 10, 2019 12:47 PM EDT

FRANKFURT, Germany (AP) — European Central Bank policymakers haggled extensively over several parts of the stimulus package unveiled at their meeting last month, with dissenters objecting to the relaunch of bond purchases aimed at lifting inflation and growth in the 19-country eurozone economy. The written...

Fed officials were sharply divided over September rate cut

Oct. 9, 2019 4:27 PM EDT

WASHINGTON (AP) — Federal Reserve officials were sharply divided last month when they decided to cut their key policy rate for a second time this year, a split that indicates the path forward for future rate cuts remains cloudy. Minutes of the discussion at the September meeting released Wednesday showed...

Powell faces key question: What's wrong with low inflation?

Oct. 9, 2019 1:31 PM EDT

WASHINGTON (AP) — When out shopping, most Americans like lower prices. But the Federal Reserve sees things a little differently. On Wednesday, Fed Chairman Jerome Powell instead said that low inflation can create problems for the U.S. economy, calling it one of the "longer-term challenges" facing the...

US dips in competitiveness index as Singapore takes top spot

Oct. 8, 2019 9:38 PM EDT

GENEVA (AP) — The United States is less competitive than it was a year ago and the global economy remains hobbled by low productivity despite a decade of cheap money from central banks, the World Economic Forum said Wednesday. In its latest assessment of the factors behind productivity and long-term...