Analysis: Interest Rates

Less than zero? Fed's Powell shows no love for negative rates

Federal Reserve Chair Jerome Powell had a clear message to interest rate futures traders on Wednesday: Bets that the U.S. central bank will pursue a negative interest-rate policy are off-base. ...

Polish court head lays into German judge's 'scandalous' criticism

By Riham Alkousaa Poland's Constitutional Court president rejected remarks by her German counterpart as scandalous after he was quoted in a newspaper questioning whether the court was...

C$ rebounds as Wall Street mulls potential for negative rates

The Canadian dollar strengthened against its U.S. counterpart on Wednesday, rebounding from a near one-week low earlier in the session as investors turned more bullish ahead of comments by U.S....

Trump again urges Fed to adopt negative U.S. interest rates

President Donald Trump on Tuesday again pushed the Federal Reserve to adopt negative interest rates, even as several members of the U.S. central bank have said they do not see a need for rates - now...

Vietnam central bank to cut policy rates from Wednesday to boost growth

By Khanh Vu and Phuong Nguyen The State Bank of Vietnam announced a reduction in its policy rates, making a second cut in less than two months to help the economy weather the impact of...

BoE must consider pros and cons of negative rates - Broadbent

Bank of England Deputy Governor Ben Broadbent said the central bank would have to weigh up the pros and cons of cutting interest rates below zero to help Britain's economy cope with the coronavirus...

Once taboo, investors begin to imagine negative U.S. rates

By Saqib Iqbal Ahmed and Tom Westbrook Negative interest rates in the United States were once unimaginable. The coronavirus has changed that. While the Federal Reserve has...

Fed policymakers are negative on negative rates

By Ann Saphir U.S. Federal Reserve policymakers say they will do what it takes to cushion an economy crushed by the widespread lockdowns aimed at slowing the coronavirus spread, but...

No immediate EU legal action likely against Germany over court ruling on ECB bonds - EU officials

By Foo Yun Chee The European Commission is unlikely to take immediate legal action against Germany over a ruling by the country's top court that the European Central Bank has overstepped...

China cut interest rates for standing lending facility loans in April

China's central bank said it lowered interest rates on its standing lending facility in April, catching up with similar reductions in other liquidity tools as part of Beijing's efforts to support...

Italy to give further support to companies including tax incentives, hybrid bonds - minister

Italy's government is readying new measures to support companies struggling due to the coronavirus crisis, including tax incentives and hybrid bonds, and aims to access the European Recovery Fund in...

Hungary central bank to use bond buy scheme only to extent necessary - Governor

A government bond purchase programme launched by the National Bank of Hungary this week has curbed long-term yields successfully, Governor Gyorgy Matolcsy said on Sunday, adding that the central bank...

Explainer: Fed funds futures market sees negative rates by next April

By Gertrude Chavez-Dreyfuss and Karen Brettell The fed funds futures market is pricing in negative U.S. interest rates next year, a scenario the Federal Reserve has said it wants to...

Dollar gains vs yen, others after U.S. jobs report

By Gertrude Chavez-Dreyfuss The U.S. dollar rose against some currencies on Friday after data showed the world's largest economy lost fewer jobs than expected last month on fallout from...

U.S. Fed won't take rates negative, say fund managers, economists

By Divya Chowdhury There is little chance the U.S. Federal Reserve will take interest rates into negative territory even as financial markets have begun pricing in such a move for the...

German court hands ECB three-month ultimatum to justify stimulus scheme

By Frank Siebelt and Francesco Canepa Germany's highest court on Tuesday gave the European Central Bank three months to justify bond purchases under its flagship stimulus programme or...

German court to rule on existential challenge to ECB's bond purchases

Germany's Constitutional Court will rule on the legality of the European Central Bank's bond purchases on Tuesday, settling an existential challenge to a scheme credited with keeping the euro zone...

U.S. rates to stay low, Fed will need to do more, Kaplan says

With U.S. unemployment likely to go as high as 20% and end the year still at 8% to 10%, the Federal Reserve still has work ahead to help the U.S. economy weather the coronavirus crisis, Dallas Federal...

ECB prepares for more stimulus, hints at junk bond buys

By Balazs Koranyi and Francesco Canepa The European Central Bank tweaked policy around the edges on Thursday but kept the door wide open to further stimulus -- including potentially...