July PCE inflation hit 3.7% year-on-year, beating forecasts, as consumer spending stalled and the probability of a September rate hold rose to 62%.
Tag: monetary policy
Posted inEconomy
Brazil Cuts Selic to 14% for Fourth Consecutive Meeting
Brazil’s Copom cut the Selic to 14% on 5 August, a fourth straight quarter-point reduction completing 100 basis points of easing since March 2026.
Posted inEconomy
Bank of Japan Holds at 1% and Upgrades Growth Forecast as Yen Slides to 40-Year Low
Japan’s central bank held its policy rate at 1% on July 27, upgraded its GDP forecast to 0.8% for fiscal 2026, and signalled further tightening ahead as the yen neared a 40-year low.
Posted inEconomy
UK Inflation Falls to 2.6% in June as Diesel and Food Prices Cool
UK consumer price inflation eased to 2.6% in June 2026, its lowest reading since March 2025, driven by falling diesel pump prices and the softest food inflation since August 2024, though services costs held firm at 3.6%.
Posted inEconomy
PBOC Holds Rates for 14th Straight Month as China’s Economy Misses Its Growth Target
China’s central bank held lending rates at record lows on July 20 for the 14th straight month after Q2 GDP came in at 4.3%, the weakest reading since late 2022.
Posted inEconomy
India’s Inflation Breaches the RBI’s 4% Target for the First Time in 17 Months
India’s consumer price index rose to 4.38% in June 2026, driven by food and transport costs, reigniting debate over whether the Reserve Bank of India should resume rate hikes as early as August.
Posted inEconomy
Bank of Japan set to raise rates to 1% on June 16, highest since 1995
Governor Ueda has all but confirmed a June 16 rate rise to 1.00%, citing persistent inflation and yen-driven energy shocks, as market pricing reaches 80% odds for the hike.
Posted inEconomy
Bank of Japan holds at 0.75% but a three-way dissent signals the next hike is close
The Bank of Japan’s April 28 decision passed 6-3, with three board members calling for an immediate rise to 1.0% — the sharpest internal split in years, set against a slashed growth forecast and rising inflation tied to Iran war energy costs.
Posted inEconomy
ECB freezes rates at 2 percent as Middle East energy costs reignite inflation
The European Central Bank’s Governing Council held all three key rates unchanged at its April 30 meeting, citing upside inflation risks from the Iran war’s energy price shock while flagging downside growth risks from the same source.
Posted inEconomy
The Fed holds fire and hands the chair to Kevin Warsh
The Federal Open Market Committee voted 8-4 on April 29 to keep rates at 3.5–3.75 percent for a third consecutive meeting, as four dissents running in both directions exposed deep internal disagreement about the direction of the next move.