LONDON, March 17 (Reuters) – The Bank of Japan welcomes a
new anti-deflation governor this week, the Bank of England might
get a new pro-growth mandate and the Federal Reserve is likely
to stick like glue to its aggressive bond-buying programme.

Together, the three events speak volumes about the balance
of risks in a global economy that is on the mend but still a
long way from rude health.

RIGA, March 13 (Reuters) – They have little else in common,
but the Baltic state of Latvia and the Mediterranean island of
Cyprus are both magnets for Russian money, making them a focus
for European officials concerned about murky banking and
financial instability.

Cyprus needs a loan of at least 10 billion euros, mainly to
recapitalise its banks, which have been crippled by exposure to
crisis-stricken Greece.

RIGA (Reuters) – If Latvia gets the green light to become the 18th country to use the euro, the small Baltic state will be the poorest member of the single-currency area, with the highest inequality and a dismal demographic profile.

But Latvia is also the fastest-growing European Union state and its eagerness to join will be welcomed in euro zone capitals as a vote of confidence in a bloc suffering many agonies.

LONDON (Reuters) – Global economic news is improving here and there, but a batch of data due this week is unlikely to shake financial markets’ conviction that major central banks are not about to take away the punch bowl.

If anything, even more monetary easing could be in the pipeline.

A minority of policymakers at the Bank of England wants to expand its bond buying. The nominee to head the Bank of Japan is promising profound change to root out deflation.

LONDON, March 10 (Reuters) – Global economic news is
improving here and there, but a batch of data due this week is
unlikely to shake financial markets’ conviction that major
central banks are not about to take away the punch bowl.

If anything, even more monetary easing could be in the
pipeline.

A minority of policymakers at the Bank of England wants to
expand its bond buying. The nominee to head the Bank of Japan is
promising profound change to root out deflation.

LONDON (Reuters) – As central banks in the euro zone and Britain edge closer this week to deciding that their flagging economies need yet more monetary stimulus, they can be forgiven for casting an envious eye towards China.

The same goes for the United States. Because of deadlock in budget talks, mandatory federal spending cuts are now being phased. They will brake a recovery that, as Friday’s jobs report is likely to show, is already frustratingly weak.

LONDON, March 3 (Reuters) – As central banks in the euro
zone and Britain edge closer this week to deciding that their
flagging economies need yet more monetary stimulus, they can be
forgiven for casting an envious eye towards China.

The same goes for the United States. Because of deadlock in
budget talks, mandatory federal spending cuts are now being
phased. They will brake a recovery that, as Friday’s jobs report
is likely to show, is already frustratingly weak.

LONDON (Reuters) – This week should bring clarity on three major issues hanging over the world economy: might the Federal Reserve withdraw monetary stimulus sooner rather than later? Will Italy elect a stable, reform-minded government? Will Japan pick a central bank chief determined to end deflation?

After a set of Fed minutes last week initially interpreted as hawkish, most economists expect Chairman Ben Bernanke to use an appearance before Congress to reaffirm that, in the words of St. Louis Fed President James Bullard on Friday, “Fed policy is very easy right now and is going to stay easy for a long time”.

LONDON, Feb 24 (Reuters) – This week should bring clarity on
three major issues hanging over the world economy: might the
Federal Reserve withdraw monetary stimulus sooner rather than
later? Will Italy elect a stable, reform-minded government? Will
Japan pick a central bank chief determined to end deflation?

After a set of Fed minutes last week initially interpreted
as hawkish, most economists expect Chairman Ben Bernanke to use
an appearance before Congress to reaffirm that, in the words of
St. Louis Fed President James Bullard on Friday, “Fed policy is
very easy right now and is going to stay easy for a long time”.

LONDON (Reuters) – Central banks are in a deep easy-money hole of their own digging that they will have to start filling in at some point. But that day still looks quite some way off.

Indeed, the Bank of Japan and the Bank of England are staking out a much bolder stance, brushing aside warnings from some that they might be stoking currency wars by depreciating their currencies or sowing the seeds of asset bubbles and inflation.