Vendors at a fruit market in Xochimilco, Mexico, on Wednesday. Agence France-Presse
Mexico’s central bank (CB) unveiled around $31 billion in support for the financial system and cut borrowing costs in the country’s most decisive move yet to help the economy weather the coronavirus pandemic.
The Riksbank, Sweden’s central bank, said it still expects to tighten policy around the turn of the year, surprising markets and sparking big gains in the long-suffering crown currency.
Mexico’s central bank (CB) has hinted that further monetary policy easing could be on the way. The bank cut its key lending rate on Thursday for the first time since June 2014, citing slowing inflation and increasing slack in the economy.
Global shares stumbled on Friday as hopes of a fiscal boost from a $1.9 trillion US stimulus plan were smothered by the prospect of stricter lockdowns in France and Germany and a resurgence of COVID-19 cases in China.
The Italian government has approved a new stimulus package worth 32 billion euros ($38.8 billion) to prop up the battered economy, pushing this year’s budget deficit significantly higher than previously planned.
Pakistan and Bangladesh are rationing gas and buyers across South Asia are seeking alternative fuels after spot liquefied natural gas (LNG) prices surged to record highs, government and industry officials told Reuters.