Markets Archives - Page 422 of 782

Positive Dollar Sentiment, Idiosyncratic Risks Weigh on Emerging Markets

EM ended last week on a soft note, and that weakness seems likely to carry over into this week. Dollar sentiment turned more positive after firm retail sales data on Friday, though US rates markets have yet to reflect any increase in Fed tightening expectations.

Over the weekend, China reported weaker than expected April IP, retail sales, and fixed asset investment. This continues a string of weak data for the month, and will undercut notions that the world’s second largest economy is stabilizing.

Investigating Another Olympic Bid’s Cleanliness

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The Week in Review: Jobless Claims, GDP Projections, Inflation

The week yielded a mixed bag of economic data indicating some strength in America’s recovery. A new Department of Labor study showed unemployment claims rose 20,000 to 294,000, ahead of economists’ expectations. As wages have risen and job openings continue to soar, economists expected more employers to find qualified workers and boost both incomes and the employment rate.

Small Businesses Struggle in Italy: Eurozone Threatened

Due to anemic growth and an unstable world economy, Italy’s small business sector woes grow worse, according to The Wall Street Journal. Small businesses are vital to Italy’s economy, and the European Union (EU) relies on Italy and other EU nations to strengthen Eurozone GDP. The Italian prime minister has yet to instill policies that would bolster the economy.

India is Giving its Trade Strategies a Rethink

India’s approach in negotiating regional and bilateral free trade agreements (FTAs) is again in sharp focus. Concern is rising over long delays in concluding a number of major agreements of which India is a part. Foremost among these is the Regional Comprehensive Economic Partnership (RCEP) involving the 10 ASEAN economies, Australia, China, India, Japan, South Korea and New Zealand.

Beware Chinese Innovation

As advanced manufacturing is about to accelerate in China, the rules of economic development could change across the world. About a year ago, China’s State Council unveiled a national plan, “Made in China 2025,” which seeks to upgrade China’s manufacturing base. The ultimate objective is to transform China into the leading global manufacturing power by 2049.

Running with the Herd

The price gap between houses and apartments in many Australian cities is closing as property investors exhibit a significant degree of herding behaviour, according to new research.

The research comes amid speculation that Australia is in a housing bubble. Herding behaviour is leading to excessive borrowing, further fuelling apartment prices, particularly in Sydney.

Could Autonomy Bring Lasting Peace in Southern Philippines?

Securing a lasting peace in the southern Philippines has been an ongoing problem for the Philippine government. Marginalised Moros in the southern Philippines have legitimate grievances against the Philippine government. This much the Philippine government has recognised in signing peace agreements, most recently with the insurgent group Moro Islamic Liberation Front (MILF).

GDP Projections Gain on Small Businesses, Housing Market

The Federal Reserve has boosted one estimate of second quarter GDP as housing and small business data improves. The Atlanta Fed’s GDPNow indicator rose 50 basis points to 2.2% as Fed economists cited expectations for higher consumer spending and fixed investment.

The upgrade comes amidst a report from CoreLogic, a real estate research firm, which showed a tremendous decline in foreclosures. Total foreclosures in America fell 14.9% on a year-over-year basis in March, with just 427,000 foreclosures on the market. That represents 1.1% of homes.

India Revises Tax Treaty with Mauritius to Curb Tax Evasion

India recently revised its tax treaty with the island nation of Mauritius. The revisions should help close loopholes that allowed investors to use the island nation as a tax shelter. The move comes after the infamous “Panama Papers” revealed similar tax sheltering and thrust the issue to the forefront of the public consciousness around the world.