Category: Markets

A United Kingdom Divided: Scottish Independence & Its Repercussions


A Scottish vote in favour of independence in a referendum would end the country’s 307-year intermarriage with England. But it would also have huge economic, political and psychological repercussions for the whole of the UK.

Scotland has always been the most autonomous of the UK’s three Celtic nations – with its own legal and education systems. But despite a 305-year-old political relationship with the U.K., a trend towards a different vision of Scottish politics has accelerated in recent years.

China Overtakes the US as the World’s Largest Grocery Market


China may be the world’s second largest economy behind the United States, but a recent industry report shows that the East Asian giant is already the world’s largest market when it comes to grocery spending. According to researchers IGD, China collectively spent $970 billion at the supermarket last year, $60 billion more than the US.

In a sign of how quickly China’s middle class as grown, the Chinese grocery sector is now worth $970 billion dollars, tripling in value between 2006 and 2011.

China Opens Up Equity Market To More Foreign Investment


China has said it will more than triple the total amount of foreign investment in Chinese securities, as the existing programme nears its limit. At the same time, Chinese Premier Wen Jiabao has called for bolder financial reforms, calling for the ‘Big Four’ banking monopoly to be ‘smashed’.

Earlier this year, the Chinese state media reported that authorities were considering expanding the capacity of the qualified foreign institutional investor scheme (QFII), a key channel for foreign investment in Chinese capital markets that was first launched in 2003.

Australia Wants To Hire Skilled US Engineers and Electricians


The Australian government has announced it will overhaul its visa assessment system for American workers as its economy struggles to fill jobs in key sectors that are currently enjoying a boom, mostly on the back of strong demand from China. According to industry projections, Australia will need 1.3 million extra workers over the next five years.

On Monday, Australia’s Skills Minister Chris Evans and the United States Ambassador to Australia Jeffery Bleich announced a new scheme to help American workers have their trade qualifications recognised faster.

India Faces International Pressure To Abandon Tax Plans


International trade groups, along with other foreign government officials, have advised the Indian government to reconsider their proposal to retroactively tax corporations for prior overseas deals, said a report by Reuters on Monday, as concerns grew over the overall investment confidence in Asia’s third largest economy.

Key Economic News To Watch This Week: April 2


A quick preview of the key economic events for the upcoming week:

This week, investors will be eagerly anticipating the European Central Bank interest rate announcement. The Bank that has so far provided bailout money at a benchmark rate of 1 percent is expected to make its announcement on Wednesday. Should the Bank decide to increase the rate, investors fear the PIIGS would not be able to handle the higher debt servicing costs.

Africa’s Oil Bill Outstrips Overseas Aid


Africa’s development efforts could be at risk of stalling, said a representative from the International Energy Agency (IEA) on Sunday, after new figures showed that African countries were paying out more for oil imports than what they received in financial aid.

According to the IEA, Sub-Saharan Africa received just $15.6 billion in overseas development aid last year, as compared to the $18 billion they spent during the same period for importing oil from overseas.

Fuel Strike Fears Spark Panic Buying Across UK


U.K. police were forced to shut down numerous petrol stations across the nation on Thursday, after motorists went into a panic-buying spree – that began on Wednesday – following a strike threat by fuel tanker drivers.

According to the BBC, petrol sales in the U.K. went up by 81 percent on Wednesday, with diesel up by 43 percent, as motorists queued for hours in order to stockpile their gas supply.

Tax Evaders Set Themselves On Fire In Italy


Italians were left shocked on Thursday after two men – in separate incidents – publicly set themselves on fire as part of a suicide attempt, following months of pressure from government officials over unpaid taxes.

Foreign Investors Dump $24 Billion Of Japanese Debt In Two Weeks


Overseas investors in the Japanese government bond market have sold more than 2 trillion yen ($24 billion) in bonds over the last two weeks, claimed the Wall Street Journal on Wednesday, as concerns continue to grow over Japan’s national debt level.