Markets Archives - Page 427 of 724

Assessing Vietnam’s Political and Religious Freedom Scorecard

Human rights — chiefly political and religious freedoms — have been on the American agenda since Washington and Hanoi resumed direct dialogue about a quarter of a century ago. Though bilateral ties have grown vastly broader, US prodding on civil liberties still piques Vietnam’s one-party regime. Scepticism that Vietnam would live up to labour rights promises was prominent in the US debate over the pending Trans-Pacific Partnership trade pact.

The Asian Spotlight Shines on China

When the Obama administration unveiled its New Silk Road Initiative in October 2011, officials asserted that it was about re-embedding Afghanistan firmly into the economic life of Central Asia through the provision of US assistance to develop infrastructural links between the country and its neighbours to both the north and south. The argument is that it would assist in ‘removing the bureaucratic barriers and other impediments to the free flow of goods and people’.

Singapore Economy Contracted in Second Quarter

Due to declining demand from Chinese and European markets, Singapore’s manufacturing base suffered in the second quarter, including the construction and service sectors. The overall economy grew 1.7 percent year-on-year, but shrank 4.6 percent quarter-on-quarter from April to June.

A Preview of Emerging Market News and Events

EM assets are starting the week under pressure. Idiosyncratic factors in Brazil (more political noise) and Turkey (election risks and a terrorist attack) meant that these countries are the hardest hit.

China Shows Signs of Rebound

The Chinese economy is showing signs of renewed strength after aggressive stimulus efforts over the past year. China surprised analysts with a 7% annualized GDP growth and less housing price declines than expected.

After Ten Years, The Yuan Floats Along

On July 21, 2005, China surprised the world by abandoning its peg to the dollar that had been in place since 1995. It immediately appreciated by 2% and gradually appreciated until the financial crisis hit in 2008. It then looked to have been “re-pegged until late 2010, when it began appreciating again.

An Emerging Markets Status Update

1) The Mexican oil auctions, while historic, proved to be a bit of a dud, 2) China revealed more support measures, 3) Brazil is considering an amnesty to undeclared funds held abroad, 4) Political tensions are heating up even more in Brazil, 5) We are a few steps closer to elections in Turkey, and it’s unclear whether markets are prepared for it, 6) Kazakhstan’s central bank widened upper end of its exchange rate corridor, 7) Ukraine’s Finance Minister Natalie Jaresko joined restructuring negotiations with creditors for the first time since the two-month standoff began

Australia’s Joe Hockey Responds to the Criticism Surrounding Negative Gearing

Negative gearing is a very controversial issue. The latest round of debate stems from the Reserve Bank’s submission to the House of Representative Standing Committee on Economics regarding the enquiry into home ownership. The Bank believed that “there is a case for reviewing negative gearing.”

Treasurer Joe Hockey promptly responded to again rule out any change of the tax policy on negative gearing. In particular, reports show that he claimed that removing negative gearing would create “an exception to a standing rule in taxation law.”

Business Secretary Sajid Javid’s Bold Move to Boost U.K. Apprenticeships

Britain is on the hunt for new apprentices. George Osborne recently unveiled a levy on large employers to pay for an increase in the number of apprenticeships from 2m to 5m. In addition, as he made the announcement, the chancellor signalled one of the key problems with workplace training, that while many companies do a brilliant job “there are too many large companies who … take a free ride on the system.”

Papua New Guinea is Rapidly Developing Despite Numerous Obstacles

Papua New Guinea’s recent period of exponential growth places it among the world’s most rapidly developing economies.

Between 2005 and 2014, PNG’s economy expanded at a real annual rate of 6.6 percent and income per capita reached US$2,081. Growth benefitted from macroeconomic stability and low volatility in output. Since 2009, a large amount of investment in the natural resources sector powered that growth. Support also came from the huge increase in demand for commodities worldwide, particularly in Asia.