Even Higher for Longer if Markets Keep Fighting Central Banks, ECB’s Wunsch Explains. The Fed Has Same Problem by Wolf Richter • Nov 22, 2023 • 199 Comments “If the markets don’t infer from this that it’ll be high for longer, we’ll have to use our rate instruments and hike to get where we want to go.”
ECB Balance Sheet QT: -€1.77 Trillion from Peak, now down to €7.07 Trillion. Shed 43% of Pandemic QE Assets by Wolf Richter • Oct 5, 2023 • 29 Comments More QT and fewer rate hikes?
QE Giveth, QT Taketh Away: German Home Prices vs. ECB Balance Sheet by Wolf Richter • Sep 22, 2023 • 143 Comments The QT show started less than a year ago. German home prices -11%, ECB assets -19%.
The Most Splendid Housing Bubbles in Canada: Price Drops Spread amid Slowing Sales, Rising Supply, Bank of Canada Tightening by Wolf Richter • Sep 15, 2023 • 127 Comments The Home Price Benchmark Index is down 13% from peak in March 2022. The Canadian housing market is in a category of its own, in terms of craziness.
Accelerating Inflation without Economic Growth: Bank of Canada Holds Rate at 5.0%, with Bias to Tighten Further. QT Continues by Wolf Richter • Sep 6, 2023 • 94 Comments The BoC already shed 50% of its QE assets, and the shedding continues.
US Dollar’s Status as Global Reserve Currency on Slow Long-Term Decline, but Not Going Down in a Straight Line by Wolf Richter • Jul 15, 2023 • 222 Comments An important thing to keep our eyes on these days.
ECB Balance Sheet Plunged by €1.6 Trillion (-18%) from Peak. Bond Roll-Off Speeds Up by Wolf Richter • Jul 5, 2023 • 85 Comments Spooked by relentlessly raging inflation in services, ECB puts QT into higher gear.
The Bank of Canada Un-Pauses, Hikes 25 Basis Points, Second Central Bank to Un-Pause on Resurging Inflation Fears by Wolf Richter • Jun 7, 2023 • 102 Comments More rate hikes are on the table. “Overall, excess demand in the economy looks to be more persistent than anticipated.”
Reserve Bank of Australia, First Central Bank to “Pause” then “Un-Pause,” Hikes Again, Warns of More Hikes. QT Continues by Wolf Richter • Jun 6, 2023 • 44 Comments Markets surprised by hike and hawkish tilt on fears about inflation expectations and surging labor costs without productivity gains.
Fast QT, Fewer Rate Hikes? Bank of Canada Has Shed Nearly Half of Pandemic QE Assets. And QT Continues Despite “Pause” in Rate Hikes by Wolf Richter • May 12, 2023 • 124 Comments It unwound 46% of all assets it had added during the pandemic. Far more aggressive QT than the Fed’s.
