It's the policy habit that’s proving tough to kick. Despite easy caricatures of central bankers as cautious and dry folks, they have developed a tendency to overshare.
Indonesia has bolstered its credentials as an emerging market leader – at some potential cost. The country took a surprising step to shore up its faltering currency by raising interest rates, and foreshadowed the tough choices confronting Asian economies in coming weeks.
Modern economies shouldn’t be run by cult figures. The ability of central banks to respond to shifts in prices and employment, as well as combat financial disasters, has become synonymous with autonomy.
When the US Federal Open Market Committee (FOMC) met in December, the guidance given to the market was that the US Federal Reserve (Fed) had revised its guidance with a 75-basis-point (bps) cut in the Fed Fund Rate (FFR) this year from the current rate of 5.25%-5.50% range, based on its latest dot plot.
“Insufficient demand” could be the key to summarising China’s macroeconomy in 2023. The country has faced insufficient demand since 2021, and this was further aggravated last year.