Supply shocks and inflation: Timely insights from financial markets
Determining the drivers of inflation in real time is a central challenge for central banks. This column introduces a new financial markets-based model to identify
Households’ inaction in the deposit market
The sharp rise in interest rates since 2021 has not been matched by equal increases in household savings rates in advanced economies. This column uses
Reforming the education of economists in Europe: Breaking the tyranny of the top five
Many European countries have adopted the American model of doctoral training and academic evaluation. While this model suits America’s vast, mobile labour market, in Europe
Arab Energy Fund announces $600mln issuance with competitive pricing
The transaction represents the fourth successful public benchmark issuance completed by TAEF in 2025. MENA-focused The Arab Energy Fund (TAEF), formerly known as APICORP, recently
How central bankers speak about climate and what this means for financial markets
Central banks have increasingly engaged with climate-related topics in their public communication, but little is known about the drivers and effects of this shift. This
The post-pandemic disinflation: Low sacrifice, high prices
By some criteria, the post-pandemic disinflation was a triumph for central banks in advanced economies: inflation fell sharply from 40-year highs while unemployment rates remained
Macroprudential policy for banks: Build the countercyclical capital buffer when there is headroom for doing so
Numerous central banks started to build the countercyclical capital buffer as bank profitability began to soar during the recent tightening cycle. Recent evidence suggests that
Beyond words: Fed chair voice sentiments and US bank stock price crash risk
Investors and policymakers increasingly rely on verbal guidance rather than policy moves. This column examines whether the emotional sentiment of the chair of the Federal
