All reserve banks news

The Swiss National Bank (SNB) Chairman Thomas Jordan said in a press conference on Thursday that the central bank would intervene in the foreign exchange market if needed. He pointed out that the franc remained significantly overvalued.

Jordan noted that the Swiss economy was expanding moderately this year.

The SNB chairman also said that the SNB would monitor the results of the referendum on Britain's membership in the European Union, and it would act if needed.

"Next week's UK referendum on whether to remain in the EU may cause uncertainty and turbulence to increase. We will be monitoring the situation closely and will take measures if required," Jordan noted.

The Bank of England (BoE) released its interest rate decision on Thursday. The BoE kept its interest rates unchanged at 0.5% and its asset purchase program unchanged at £375 billion. This decision was widely expected.

The Swiss National Bank (SNB) released its interest rate decision on Thursday. The central bank kept the rates on sight deposits at minus 0.75% and said that the bank will remain active in the forex market if needed.

The SNB noted that the Swiss franc was still significantly overvalued.

Inflation was upgraded to -0.4% in 2016 from the previous forecast of -0.8%. The central bank expects inflation to be 0.3% in 2017, up from the previous forecast of 0.1%.

The upward revision was driven by a recent rise in oil prices.

The central bank noted that global economy was expected to expand moderately over the coming quarters, adding the referendum on Britain's membership in the European Union was a risk to the outlook.

The SNB expects the Swiss economy to grow between 1% and 1.5%, unchanged from its previous estimate.

The Bank of Japan (BoJ) Governor Haruhiko Kuroda said in a press conference on Thursday that Japan's economy was expanding moderately like a trend. He pointed out that inflation was picking up toward 2% target, which will be reached by March 2018.

The Bank of Japan (BoJ) released its interest rate decision on Thursday. The central bank kept its interest rate unchanged at -0.1% as widely expected by analysts. The monetary base target remained unchanged at 275 trillion yen, while the central bank said that it will expand its monetary base at an annual pace of 80 trillion yen as expected by analysts.

The BoJ said that the country's economy continued to recover moderately, but exports and production were sluggish due to the slowdown in emerging economies.

The central bank expect inflation to be slightly negative or about 0% for the time being.

The European Central Bank (ECB) Vice President Vitor Constancio said on Wednesday that negative deposit rates has limits, adding that the central bank should monitor "the possible occurrence of undesirable side-effects".

He also said that inflation in 2018 could be higher that estimated by the ECB.

Constancion pointed out that the central bank would continue to implement its stimulus measures.

The European Central Bank (ECB) purchased €17.73 billion of government and agency bonds under its quantitative-easing program last week.

The ECB bought €1.49 billion of covered bonds, and €131 million of asset-backed securities.

The central bank purchased €348 million of corporate bonds on June 08.

The ECB cut its interest rate to 0.00% from 0.05% and deposit rate to -0.4% from -0.3% at its March monetary policy meeting. The ECB also expanded its monthly purchases to €80 billion from €60 billion.

The European Central Bank (ECB) Governing Council member Jens Weidmann said on Monday that there was no need for more stimulus measures, adding that the current stimulus measures needed more time to take effect.

"The current monetary environment requires no further easing," he said.

Weidmann noted that the ECB's quantitative easing was appropriate as inflation was low. But he pointed out that the risks and side effects of the stimulus measures would rise over time.

The European Central Bank (ECB) Governing Council member Jens Weidmann said on Friday that the central bank's low-interest-rate policy for a longer period could lead to a sudden hike in risk premiums.

"Monetary policymakers have to take this into account in order to avoid unintended consequences," he added.

Weidmann pointed out that the ECB should consider financial imbalances.

"Monetary policy would be wise to take the implications of financial imbalances for price stability into account," he noted.

The European Central Bank (ECB) Vice President Vitor Constancio said on Friday that negative interest rates were positive for banks, but added that there were some negative side effects. He also said that the central bank's monetary easing could pose risks to the financial stability.

The European Central Bank (ECB) Governing Council member Ignazio Visco said on Thursday that the central bank's stimulus measures were appropriate.

"The current low level of policy rates is the appropriate reaction to current conditions," he said.

Visco added that the ECB's monetary easing helped to combat deflationary risks.

The European Central Bank (ECB) President Mario Draghi said in a speech at the Brussels Economic Forum on Thursday that governments should implement structural reforms to support the central bank's stimulus measures.

"There are many understandable political reasons to delay structural reform, but there are few good economic ones. The cost of delay is simply too high," he said.

The Reserve Bank of New Zealand (RBNZ) on Wednesday kept its interest rate unchanged at 2.25% as widely expected by analysts.

The RBNZ Graeme Wheeler said that New Zealand's economy was supported by strong inward migration, construction activity, tourism, and the central bank's accommodative monetary policy.

He pointed out on Wednesday that further monetary policy easing was possible.

"Further policy easing may be required to ensure that future average inflation settles near the middle of the target range," he said, adding that the monetary policy will depend on the incoming economic data.

Wheeler noted that the New Zealand dollar was "higher than appropriate", adding that a weaker currency was desirable.

The RBNZ governor also said that inflation was low, driven by lower prices for fuel and other imports, but long-term inflation expectations were well-anchored at 2%.

Wheeler pointed out that there were risks to inflation forecasts from the possible high net immigration and pressures in the housing market.

The RBNZ lowered its interest rate to 2.25% from 2.50% in March. This decision was not expected by market participants.