Faced with a slowing global economy, central banks are diversifying their asset management strategies to enhance returns on foreign reserves.
Blog posts on "monetary policy"
The region's strong fundamentals limit the risk of foreign exchange volatility.
Our empirical evidence for 9 Asian economies indicates that both CPI and PPI inflation have a direct effect on bond yields, although each matter differently depending on the country.
As 2015 gathers pace, the world seems to be entering a more uncertain and unpredictable phase. With the end of quantitative easing by the Federal Reserve, we are entering an era of tighter global liquidity.
The US Fed has been winding down its bond purchase program, widely known as “quantitative easing,” since December 2013. The program was introduced in the wake of the 2008 global financial crisis to fight the recession and foster a rapid economic recovery. With the improvement in the US economy, the Fed suggested at its policy meeting in March that the program may end this coming fall and it may start raising interest rates about six months from then.
Asian stock markets have been under pressure recently from an announcement by the US Federal Reserve that “quantitative easing”, or QE as it is commonly referred to, is likely to be tapered off in the near future.