April 11, 1998 |
Japan's central bank punished 98 employees yesterday in a bribery scandal that has shaken the country and its powerful bureaucracy. Penalties ranged from reprimands to temporary salary cuts. The scandal centers on favors granted in exchange for lavish entertainment. In just a few months, it has claimed the jobs of two ranking Finance Ministry officials, including the finance minister. Four other ministry officials have been arrested. Two more Finance Ministry officials, as well as an executive at a public corporation and a national lawmaker, hanged themselves rather than face questioning by prosecutors.
December 19, 1990 |
The Federal Reserve's dramatic decision to cut a key interest rate today will reduce Americans' borrowing costs, but won't avert a recession, economists say. The first drop in the Fed's discount rate in four years, from 7 percent to 6.5 percent, will almost certainly prompt banks to reduce their lending rates, analysts said. The discount rate is the interest the Fed charges member banks for loans. Major area banks by late this morning hadn't lowered the interest rates they charge as a result of the Fed's actions.
July 1, 1998 |
The Federal Reserve warned bankers across the country yesterday to tighten their rules for business lending because an economic slowdown, if it comes, could leave them vulnerable to a rash of bad loans. The central bank said it sent a letter last week to federal and state bank examiners in which it cautioned that this was "a critical time for banks to maintain their lending discipline" and to stiffen controls if possible. "This is intended to be a warning light for bankers because of the belief that some banks are beginning to believe the business cycle is dead, all loans are safe, there will never be another recession," said economist David Wyss of DRI/McGraw Hill Inc. in Lexington, Mass.
March 9, 1991 |
The Federal Reserve took a step yesterday aimed at cutting interest rates and, thus, pulling the country out of the recession. The central bank, acting just hours after the government's monthly unemployment report showed that the recession deepened in February, added reserves to the banking system. The move was widely interpreted by economists as a signal that the central bank had embarked on another round of credit- easing. With more money available, banks can lower interest rates, which promotes borrowing by businesses and individuals and sparks economic activity.
October 20, 1987 |
Federal Reserve Board chairman Alan Greenspan, seeking to ensure that the turmoil in the stock market does not spread to the nation's banks, pledged today to provide the necessary liquidity to protect the financial system. Some analysts said the Fed's pledge was an attemptto put downward pressure on interest rates, easing pressure on the markets. In a one-sentence statement issued before the market opened, Greenspan said: "The Federal Reserve, consistent with its responsibilities as the nation's central bank, affirmed today its readiness to serve as a source of liquidity to support the economic and financial system.
March 26, 2013 |
NICOSIA, Cyprus - The Central Bank of Cyprus says the country's finance minister has decided to order all banks in the country to remain shut until Thursday. The announcement late Monday came hours after the central bank had said all banks except the country's two largest lenders, Laiki and Bank of Cyprus, would open Tuesday morning. Banks have been closed since March 16 to avert a run on deposits as the country's politicians struggled to come up with a plan that would raise enough funds to qualify for an international bailout.
February 4, 1994 |
The financial markets swirled with speculation that the Federal Reserve Bank yesterday nudged short-term interest rates higher, reversing a three- year trend toward lower rates. However, a number of economists strongly disagreed, saying the nation's central bank would be unlikely to signal a tightening in credit conditions before its Federal Open Market Committee, which sets monetary policy, completes its two-day meeting today. Many financial and economic experts expect the Federal Reserve to tighten short-term interest rates sometime this year to help contain nascent inflation pressures growing out of the economic recovery, which accelerated last quarter.
March 7, 1986 |
The central banks of West Germany and the Netherlands yesterday reduced their discount rates, and France and Japan said they would follow suit, igniting speculation that a corresponding cut by the U.S. Federal Reserve Board was imminent. Financial analysts said the cuts by foreign central banks would allow the Federal Reserve Board to push credit costs lower here and provide a further boost to the economy. The central bank of West Germany, the Deutsche Bundesbank, announced that it was reducing its discount rate - the charge on loans to commercial banks - to 3.5 percent from 4 percent, effective today.
March 15, 1988 |
The Federal Reserve Board is making a mistake by depending on a broadened selection of financial data to set monetary policy, a panel of conservative economists said yesterday. The Shadow Open Market Committee, a self-appointed watchdog of the central bank, urged the Fed to go back to focusing on efforts to keep up steady, moderate growth of the nation's money supply instead of trying to adjust the money supply in reaction to signals from Wall Street. The committee was responding to the controversial disclosure last month that the Fed, in determining monetary policy, would pay closer attention to exchange rates, bond yields and commodity prices.
April 10, 2013 |
DAMASCUS, Syria - A suicide car bomber struck Monday in the financial heart of Syria's capital, killing at least 15 people, damaging the nearby central bank, and incinerating cars and trees in the neighborhood. The attack was the latest in a recent series of bombings to hit Damascus in the civil war, slowly closing in on President Bashar Assad's base of power in the capital. Rebel fighters have chipped away at the regime's hold in northern and eastern Syria, as well as making significant gains in the south, helped in part by an influx of foreign-funded weapons.