However, the BOT will still have to monitor the pace of inflation and rate increases in major countries, Veerathai said.
The central bank forecast headline inflation of 0.7 percent this year and 1.1 percent next year, compared with its target range of 1-4 percent. Most analysts expect no policy change in 2018, while some forecast a hike in the second half of the year. 20, the BOT raised its economic growth forecast for this year for the fourth time, to 3.9 percent from 3.8 percent.
A number of other participants judged that communicating a careful qualitative description of the indicators influencing the Committee's thinking about current and future monetary policy, or providing more information about the Committee's policy reaction function, would be more informative than either quantitative thresholds or date-based forward guidance.
Accordingly, thresholds could increase the probability that market reactions to economic developments would move longer-term interest rates in a manner consistent with the Committee's view regarding the likely future path of short-term rates.
The Manager also reported on System open market operations over the intermeeting period, focusing on the ongoing reinvestment into agency-guaranteed mortgage-backed securities (MBS) of principal payments received on SOMA holdings of agency debt and agency-guaranteed MBS and the purchases of MBS authorized at the September FOMC meeting.
By unanimous vote, the Committee ratified the Desk's domestic transactions over the intermeeting period.
At the conclusion of the discussion, the Chairman asked the staff to provide additional background material, taking into account the range of participants' views.
Developments in Financial Markets and the Federal Reserve's Balance Sheet The Manager of the System Open Market Account (SOMA) reported on developments in domestic and foreign financial markets during the period since the FOMC met on September 12-13, 2012.
CHIANG MAI, Thailand (Reuters) - Thailand’s central bank can continue its accommodative monetary policy to aid the country’s economic recovery, although the U. Federal Reserve keeps raising its interest rates, the central bank governor said on Saturday.
“Thailand’s monetary policy still needs to be conducive to the economic recovery,” Bank of Thailand Governor Veerathai Santiprabhob told reporters.
The unemployment rate declined but was still elevated.
Consumer price inflation picked up, reflecting higher consumer energy costs, but longer-run inflation expectations remained stable.
Gibson, Director, Division of Banking Supervision and Regulation, Board of Governors James A. Zickler, Senior Advisers, Division of Monetary Affairs, Board of Governors Eric M. Small, Project Manager, Division of Monetary Affairs, Board of Governors Jeremy B.