The U.S. Adds Many Jobs and Canada Copies
The US May jobs reported was stronger than expected. Although it will not boost the chances of a Fed rate hike later this month, a September lift-off still seems like the most likely scenario.
Category: Economics
The Week in Review: Australia, Eurozone Mixed as Greek Default Nears
The Eurozone has seen improving inflation and unemployment figures, while a Greek default is challenging expectations of a steadily improving European economy.
European leaders continue to negotiate a settlement of the ongoing Greek debt crisis, as the Greek Prime Minister Alexis Tsipras met with Eurozone creditors to find a way to restructure the Mediterranean country’s debt load. The hope is that the two groups can find a way to help Greece avoid defaulting on its loans, which is likely to happen by the end of this month, if not sooner.
Why Sepp Blatter Fell on His Sword
The president of FIFA appeared impregnable for the past 17 years, but the pressure from media, the sponsors and US investigators became irresistible.
Until his surprise resignation provided another dramatic twist in this week’s FIFA revelations, Sepp Blatter seemed impregnable at the head of FIFA. For over a decade, accusations of corruption swirled around football’s international governing body, but Blatter stayed serenely in his post.
Protecting Oceans Could Add Almost a Trillion Dollars to World Economy Report Says
The World Wildlife Fund (WWF) has long been committed to protecting animals and their natural habitats. For over 50 years, this organization has developed a reputation as one of the most respected and influential environmental groups in the world. As a result, when they offer suggestions, governments tend to listen.
Eurozone Sees Inflation, Falling Unemployment
Two indicators showed renewed strength in European economies, as the Eurozone saw both an end to deflationary trends and a rise in employment.
Prices rose 0.3% in May in the Eurozone, according to a study by Eurostat. Services saw a 1.3% increase in prices, while core inflation rose 0.9%, an increase from 0.6% in April.
External Forces Weighing on the Dollar Obscure Data Showing a Recovering U.S. Economy
The US dollar is sliding across the board, but the impetus is not coming from the United States. If anything, the combination of the strong auto sales figures, smaller trade deficit, and ADP jobs estimate underscore the fact that the US economy is recovering from the Q1 contraction. Rather the trigger for the dollar’s broad retreat is the strong gains of the euro, which seem inextricably linked to the sharp bund sell-off. The 10-year yield is approaching 1.00%, which means it has doubled since Monday’s low print near 47 bp.
Should ASEAN Members be Concerned with China’s Growing Regional Influence?
The rise of China and its growing influence in the Asia Pacific puts ASEAN unity and centrality to its biggest test in years. Although ASEAN leaders are trying to downplay the seriousness of this concern, their differences are publicly on display.
Southeast Asia Refugee Policies Seem to be Adrift Like the Refugees
It took the foreign ministers of Malaysia, Indonesia and Thailand more than 10 days to finally come to a joint agreement that would allow the rescue of thousands of dehydrated and starving Rohingya and Bangladeshis who had been drifting in the Andaman Sea for weeks.
Surprise! Draghi Offers No Surprises
The substance of what ECB President Draghi contained few surprises. The tone was cautiously optimistic that the worst is past for EMU.
Slightly Better Economic News from the UK and Japan is a Good Sign
Sterling’s seven day losing streak appears to be ending today with the help of a stronger than expected construction PMI. The Nikkei’s 12-day rally streak ended today with a minor loss, helped by profit-taking in the financials and energy space. More domestic sectors, like utilities, healthcare and consumer staples still rallied. News that regular pay rose 0.9% year-over-year in April, three times more than the market expected and the biggest increase since 2005 is a welcome development. Rising wages has been a missing component to ‘Abenomics’.&nb
