Dear friends and colleagues:
The CFR Global Monetary Policy Tracker is updated through September 3. Two minor reserve-currency issuing central banks cut their policy rate last month—the BoE from 4.25% to 4%, and the Reserve Bank of Australia from 3.85% to 3.6%. The Fed held steady at 4.38%, the ECB at 2%, the PBoC at 3%, the BoJ at 0.5%, and the Bank of Canada at 2.75%.
With China shifting from an easing to a neutral posture, by our algorithm, the CFR Index of Global Easing (-)/ Tightening (+) rises from -3.03/10 to -2.87/10: continued modest easing.
All eyes are now on the Fed, for which the market is assigning 90% odds of a 25bp rate cut on September 17.
Please be sure also to check out our CFR Global Inflation Tracker, which covers nearly 200 countries over the past quarter century.
Sincerely, |
