Kavan’s Blog
Kavan shares his insights and perspectives on key issues facing the global economy, financial markets and more in his blog.
Waiting to Land: The Moments that Shaped the 2023 Economy
by Kavan Choksi
The year began in the middle of a historic rate hiking cycle aimed at taming inflation. The stress of higher rates seemed to portend an inflection point in the economy. In the first quarter, a series of bank failures threatened system-wide contagion. Tremors in the banking system fueled recessionary fears, which were amplified by slowing US GDP growth. The soft landing eyed by the Federal Reserve and hoped for by optimistic investors started seeming less likely.
The Bank of Japan’s December Surprise – Economic Policy or Currency Politics?
By Kavan Choksi
In a surprise move that shocked markets, the Bank of Japan tweaked its yield curve control (YCC) policy by doubling the cap on bond yields from 0.25% to 0.5% at its latest policy meeting on December 20.