Welcome to the Financial Times Lexicon

Browse thousands of words and phrases selected by Financial Times editors and suggest new terms for the glossary.


Term of the day

leaning against the wind

Leaning against the wind, or sometimes, leaning into the wind, in economic terms refers to a  countercyclical monetary policy where central banks take action to damp down inflationary booms or to boost growth when the economy is flagging.

In June 2005, Jean-Claude Trichet, president of the European Central Bank, described leaning against the wind in the following terms:

"The leaning against the wind principle describes a tendency to cautiously raise interest rates even beyond the level necessary...