• Feb 25, 2025

Taiwan chip maker Vanguard says Trump's threatened tariffs could fuel inflation

Taiwanese chip maker Vanguard International Semiconductor warned on Tuesday that U.S. tariffs on imported chips could spur inflation and impact global economic growth, but said it expects the direct impact on the company would be small. U.S. President Donald Trump said last week that he intends to impose auto tariffs in the neighbourhood of 25% and similar duties on semiconductors and pharmaceutical imports, the latest in a series of threats that could upend international trade. Vanguard Chairman Leuh Fang told analysts on a post-earnings call that the company was adopting a "wait and see" stance as it was unclear how serious and far the Trump administration would go.

  • Feb 24, 2025

Fed's Logan floats idea of discount-window loan auction facility

Dallas Federal Reserve Bank President Lorie Logan on Tuesday floated the idea of allocating a "modest" part of the Fed's balance sheet to loans and repos, perhaps holding a daily auction of discount-window loans. This would encourage banks needing liquidity to be ready to borrow from the Fed and improve the efficiency and effectiveness of policy implementation, Logan said. "Such a facility might also smooth the redistribution of reserves around the banking system," Logan said in remarks prepared for delivery to a Bank of England conference in London.