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Cailianshe News, August 2 (Editor: Xiaoxiang)With the end of this round of "Super Central Bank Week" and the interest rate decision drama of the US, Japanese and British central banks, the monetary policy trajectory of the major central banks in the world this year has undoubtedly become increasingly clear.

So, at the most watched level of G10 central banks, how many times have each central bank cut interest rates? Which central banks have not yet taken action? Let's take stock of them one by one (ranked from dove to hawk):

Swiss National Bank

Number of rate cuts so far this year: 2

The Swiss National Bank was the first developed market economy to implement the first interest rate cut of this cycle in March this year, and in June it cut borrowing costs to 1.25%. The market currently expects another interest rate cut in September. Switzerland's inflation rate has dropped to 1.3% year-on-year, firmly within the Swiss National Bank's target range.

Bank of Canada

Number of rate cuts so far this year: 2

The Bank of Canada is shifting its policy goal from curbing inflation to protecting the economy, and has cut interest rates by 50 basis points since June, bringing the overnight rate to 4.5%. Traders generally expect the Bank of Canada to cut interest rates further this year. Population growth has helped Canada avoid a recession, but it has also led to rising unemployment, while previous interest rate hikes have curbed consumer spending and housing demand.

Note: The red line is CPI, the blue line is core CPI, and the black line is policy interest rate, the same below

Swedish Central Bank

Number of rate cuts so far this year: 1

The Riksbank ended its long period of monetary tightening in May with its first rate cut of the current cycle and is preparing to cut rates two or three more times as inflation cools and the economy shrinks sharply. Sweden's benchmark rate is currently 3.75%, down from 1.3% in June.CPICompared with the increase (converted according to the EU unified standards), it seems a bit high.

European Central Bank

Number of rate cuts so far this year: 1

The ECB kept its deposit facility rate unchanged last month after its first rate cut in June and declined to discuss its next move. Overall, euro zone inflation has fallen to near the ECB's 2% target. But price pressures in the services sector still make some policymakers cautious. Interest rate markets currently expect the ECB to cut rates again in September with a probability of about 70%.

Bank of England

Number of rate cuts so far this year: 1

The Bank of England cut interest rates by 25 basis points to 5.00% on Thursday, the first rate cut since March 2020. The 5-4 vote in favor of the resolution also highlighted the internal struggles among policymakers on whether inflationary pressures have eased sufficiently. Bank of England Governor Andrew Bailey said the Bank of England's Monetary Policy Committee will act cautiously in the future.

Fed

Number of rate cuts so far this year: 0

After a welcome retreat in U.S. inflation, Federal Reserve Chairman Jerome Powell hinted on Wednesday that the Fed will cut interest rates for the first time in this cycle in September. The U.S. federal funds rate has been stuck in a high range of 5.25%-5.5% for a year, and the Fed faces the risk of shifting its focus to responding to economic weakness and rising unemployment. The interest rate market currently expects the Fed to cut interest rates in all three remaining meetings of the year.

Reserve Bank of New Zealand

Number of rate cuts so far this year: 0

The Reserve Bank of New Zealand kept the cash rate unchanged at 5.5% at its July meeting, but could move to an easing stance if inflation slows further. Traders currently expect the Reserve Bank of New Zealand to most likely keep interest rates unchanged at its next meeting on August 14, and then cut rates in October.

Norges Bank

Number of rate cuts so far this year: 0

Norway's core inflation rate, which strips out energy prices and taxes, fell faster than expected to 3.6% in June from a year earlier, but remains uncomfortably high for the Norges Bank, which expects to keep interest rates at a 16-year high of 4.50% until early 2025, even though interest rate futures markets currently price in about a 50% chance of a December rate cut.

Reserve Bank of Australia

Number of rate cuts so far this year: 0

Wednesday's weaker-than-expected core inflation data may have temporarily changed the Reserve Bank of Australia's mind about turning hawkish. The market had previously expected a slight chance of a rate cut at the RBA's policy meeting on August 5-6, but now that possibility is gone. Traders are currently pricing in about a 70% chance that the RBA will cut interest rates from their current 12-year high by the end of the year.

Bank of Japan

Number of rate hikes so far this year: 2

The Bank of Japan has always been a "heresy" among G10 central banks. The Bank of Japan, which had been firmly dovish until the end of last year, raised its key policy rate from 0-0.1% to 0.25% on Wednesday, completely moving away from negative and zero interest rates for the first time in 15 years. The Bank of Japan also announced a detailed guideline to slow its massiveBondsBank of Japan Governor Kazuo Ueda is not ruling out another rate hike this year and has stressed the bank is ready to keep raising borrowing costs to levels deemed neutral for the economy - which has pushed the dollar below 150 yen for the first time since March.