FT Alphaville » discount rate http://ftalphaville.ft.com FT Alphaville - Market Commentary - FT.com Wed, 22 May 2013 10:02:44 +0000 en hourly 1 http://wordpress.org/?v=3.3.2 Fed may raise discount rate, some say http://ftalphaville.ft.com/2010/03/19/180001/fed-could-raise-discount-rate/ http://ftalphaville.ft.com/2010/03/19/180001/fed-could-raise-discount-rate/#comments Fri, 19 Mar 2010 03:18:18 +0000 Tracy Alloway http://ftalphaville.ft.com/blog/?p=180001 The Federal Reserve may decide to raise the discount rate, the emergency level at which it lends to banks, before the next meeting of its Federal Open Market Committee, Bloomberg reports, citing the opinions of some economists. The speculation helped keep risk appetite subdued on Thursday, and boosted safe haven demand for the dollar. See also FT Alphaville‘s Euro alert.

Continue reading: Fed may raise discount rate, some say]]> http://ftalphaville.ft.com/2010/03/19/180001/fed-could-raise-discount-rate/feed/ 0 Moving down the corridor… http://ftalphaville.ft.com/2010/02/19/154291/moving-down-the-corridor/ http://ftalphaville.ft.com/2010/02/19/154291/moving-down-the-corridor/#comments Fri, 19 Feb 2010 13:50:19 +0000 Tracy Alloway http://ftalphaville.ft.com/blog/?p=154291 We won’t pretend to understand all of this 2008 Federal Reserve paper.

The basic premise seems to be that central banks can separate monetary policy from actual money. They can do this by using a “floor system” as opposed to the more traditional corridor system.

Continue reading: Moving down the corridor…]]> http://ftalphaville.ft.com/2010/02/19/154291/moving-down-the-corridor/feed/ 0 Discount rate stigma http://ftalphaville.ft.com/2010/02/19/154001/discount-rate-stigma/ http://ftalphaville.ft.com/2010/02/19/154001/discount-rate-stigma/#comments Fri, 19 Feb 2010 09:13:55 +0000 Tracy Alloway http://ftalphaville.ft.com/blog/?p=154001 Is it a coincidence that around the same time the Federal Reserve announced it was raising the discount rate, board member Elizabeth A. Duke was speaking about the exact same thing?

In a speech at the Economics Club of Hampton Roads, Norfolk, Virginia, meant to commemorate her first year at the Fed, the former banker had some interesting things to say about the facility :

Continue reading: Discount rate stigma]]> http://ftalphaville.ft.com/2010/02/19/154001/discount-rate-stigma/feed/ 0 Fed raises discount rate http://ftalphaville.ft.com/2010/02/19/153926/fed-raises-discount-rate/ http://ftalphaville.ft.com/2010/02/19/153926/fed-raises-discount-rate/#comments Fri, 19 Feb 2010 05:03:37 +0000 Gwen Robinson http://ftalphaville.ft.com/blog/?p=153926 The US Federal Reserve announced on Thursday it would raise the discount rate for commercial banks as part of moves to withdraw emergency support from the financial system, reports the FT. The discount rate will increase on Friday from 0.5% to 0.75%, moving the spread over the main federal funds rate to a more normal level and returning the duration of loans to a maximum of overnight. The Fed stressed that the moves “do not signal any change in the outlook for the economy or for monetary policy”.

Continue reading: Fed raises discount rate]]> http://ftalphaville.ft.com/2010/02/19/153926/fed-raises-discount-rate/feed/ 0 Did the discount rate hike leak? http://ftalphaville.ft.com/2010/02/18/153641/did-the-discount-discount-rate-hike-leak/ http://ftalphaville.ft.com/2010/02/18/153641/did-the-discount-discount-rate-hike-leak/#comments Thu, 18 Feb 2010 21:32:27 +0000 Paul Murphy http://ftalphaville.ft.com/blog/?p=153641 Sure, the Federal Reserve made it very clear on Wednesday that while it would soon be raising its discount rate, this should NOT be taken as an indication that policy was being tightened.

But we’re pretty sure that’s exactly how it will be taken,  what with markets being markets…

Continue reading: Did the discount rate hike leak?]]> http://ftalphaville.ft.com/2010/02/18/153641/did-the-discount-discount-rate-hike-leak/feed/ 0