Category: News Desk

The Week in Review: U.S. Economic Data Turns Sour


A substantial number of economic indicators suggest greater weakness in the American economy, as Americans struggle with rising prices, lower demand, and higher default rates.  Jobless claims rose to 278,000, above expectations of 270,000 claims, reaching their highest point in a month, and services demand fell to contraction for the first time since 2013. At 49.7, the services PMI fell to its lowest level since 2010, below expectations of expansionary demand.

World Bank: No Funds for Developing Nations without LGBT Rights Protections


The President of the World Bank made headlines this week with comments about the institution’s position on the rights of lesbians, gays, bisexuals, and transgendered individuals. Specifically, he noted that the bank would no longer provide funding to developing nations with laws that endanger the rights and lives of their LGBT communities.

EU Urges Albania to Reform Judicial System and Corrupt Governance


As a precursor for acceptance into the European Union, Eurozone leaders require that Albania improve its judicial branch and foster government transparency, according to the Associated Press. EU authorities granted Albania candidate status and they are expected to enter negotiations for full membership this year. The United States has also pressed the Balkan nation for similar reforms.

UK Indicators Point to Decline, Pound Suffers


A growing number of economic indicators are pointing to worsening economic conditions in the UK, causing the British pound to fall further in value.  The services Purchasing Managers’ Index fell to 52.7 in February, according to Markit Economics. The decline follows consistent weakness in services demand throughout the country, and is far below expectations of a 55.1 reading. In January, the PMI reading was called “disappointing” by Markit and several economists, although it was far above current levels at 55.6.

One Chinese Worker Killed in Laos as Militants Grow Bolder


According to Chinese state media, one of the Middle Kingdom’s citizens was killed in a shooting in Laos that also injured three people, according to the Associated Press. The incident occurred in Luang Prabang province, and suspected terrorists launched the attack at a workspace used by a Chinese company. Authorities do not have a motive, but some suspect that the shooting grew out of growing anti-Chinese sentiment within Laos.

Europe, IMF Split over Amount of Reform Needed in Greece


European lenders and the International Monetary Fund (IMF) appear to have strong disagreements over how best to handle the Greek financial crisis. Because of those disagreements, Greece may suffer as new payouts and further debt relief talks are delayed while third parties clash over the details. 

Global Deflation Signals Persist, Signaling Economic Slowdown


More signs of a deflationary environment are appearing in Europe and Asia, leading many economists to give up on hopes of stronger growth in the near future.

In Japan, the government sold bonds at negative yields for the first time, while ten-year Japanese government bonds fell to negative yields. Despite the fact that bond buyers are now paying Japan for the privilege of lending the government money, the auction had a high turnout and issues were able to sell to cash-rich institutions looking for a place to park capital.

New Central African Republic Leader Confirmed Amid Political and Religious Turmoil


The Central African Republic (CAR) confirmed former math professor Faustin-Archange Touadéra as president, a candidate vowing to unify his country, according to Reuters. The Central African nation went through its worst economic downfall in the country’s history, including a three-year conflict between rebel Muslim Séléka insurgents and Christian militias. The new president will be sworn in on March 25.

UN Deputy Chief Comments on Development, Peace at World Bank Forum


On Tuesday, March 1, 2016, the World Bank held a forum called the 2016 Forum on Fragility, Conflict and Violence. The forum aimed to end extreme poverty around the world by 2030. The vision of the forum is mutual and sustainable prosperity through international cooperation. This was a perfect platform for United Nations Deputy Secretary-General, Jan Eliasson, to speak regarding his own vision of a peaceful future achieved through shared international interests coupled with universal economic development.

Optimism Vanishes on Softening Europe, Weak U.S. Production


Despite strong GDP growth at the end of 2015, recent data indicates a softening in global growth that is worrying economists.

In Europe, the European Central Bank announced that it would revisit its stimulus program this month after Eurozone inflation fell to -0.2% for the Consumer Price Index, a sharp reversal from a 0.3% increase in January. Inflation in the CPI has continued to grow weaker throughout 2014 and 2015, despite a broad bond-buying program by the ECB that was designed to cause inflation to rise.