Category: News Desk

Russia and North Korea Discuss Strengthening Economic Ties


So, you are the leader of one of the world’s most powerful nations but, over the last few years, have lost considerable support in the international community thanks to policies that appear to harken back to a mentality thought long-dead after the fall of Soviet Russia and the end of the cold war. What do you do to bolster your faltering economy and build a little political solidarity? Negotiate economic ties with the leader of one of the most reviled and unpredictable rogue nations on the planet, of course!

Canadian Economy Takes a Hit from Low Oil Prices


TD Bank predicts the Canadian economy will shrink in 2015 because of low oil prices. According to the report, the effects will be noticeable in the first few quarters, but growth expects to pick up in late 2015.

The report basis is about the prediction that oil prices will fall to $40 a barrel and then rise to around $65 a barrel for 2016. TD further notes that annual growth will be 1.9 percent in 2015, which is a downgrade from a forecasted two percent during January. The Bank of Canada predicted slightly less than 2.1 percent growth.

ECB Accused of Blackmailing Greece as Grexit Grows Popular


More Europeans are accusing finance ministers of blackmailing Greece, leading to suspicion that Germany is pressuring the country to cut welfare spending on its poorest citizens so that it can borrow more debt from the European Central Bank.

Is Slowing Chinese Economic Growth Gaining Momentum?


China’s manufacturing shrank in March, adding to the mounting evidence that China’s economy may be stalling and cooling off much more quickly than previously predicted.

According to a report by ABC News, China’s manufacturing activity did not just slow, but it actually shrank in March. The HSBC/Markit Flash China Manufacturing Purchasing Managers’ Index (PMI) issued a report noting an 11-month low of 49.2 in Chinese factory activity for March. Anything below a mark of 50 indicates contraction, while 50 and above indicates sector growth.

Scottish Economy Takes Sharp Downturn but a Rebound is Expected


A report from the Bank of Scotland noted that Scotland’s economy slowed heavily in the first few months of 2014, but expects additional growth over the next few months. Bank of Scotland economist Donald MacRae notes that the economy slumped in the beginning of 2015, but expects stabilized growth to return sometime in the spring.

Federal Reserve Sees Below-Average Growth


The U.S. economy is growing at a lower-than-average rate, far short of expectations, as last-year’s optimism turns sour.

A new study by the Chicago Federal Reserve shows that economic fell 10% from January to February as the region’s National Activity Index (CFNAI) slipped to -0.11 from -0.10 in January. That marks the third month in a row of an economic decline, after extremely strong growth in September, October, and November of 2014.

Vice Premier Sees Positive Economic Signs for China


Vice Premier Zhang Gaoli said his country’s economy is stabilizing, with gains in such areas as the service sector and employment. Economic growth expects to retract from 7.4 percent last year to 7 percent in 2015, a 25-year low.

African Urbanization May Point to Economic Opportunities


In 2014, for the first time in recorded history, more humans lived in cities than anywhere else – around 54% of the global population to be exact.

Most economists agree that cities are the engines of economic growth. And, mass urbanization may prove to be one of the most important changes of the early 21st century according to Jamal Saghir, director of sustainable development at the World Bank. If models hold true, predictions show that by mid-century, fully 2/3 of the world’s population will dwell in cities.

U.S. Home Sales Weaken Despite Lower Rates


Mortgage interest rates are falling, but that is not encouraging more Americans to buy houses, especially in higher-priced urban markets.

According to Freddie Mac, 30-year mortgage interest rates fell to 3.78%, remaining near the lowest levels seen in the first half of 2013. Fifteen-year mortgages also fell on a week-over-week basis to 3.06, a fall of 1.3% from the prior week and 8.5% from a year ago. Thirty-year mortgages have fallen 12.5% from a year ago.

Russia Continues to Weather Economic Storm


Russian President Vladimir Putin remains cautiously hopeful about the economy as his country adapts to Western sanctions over the Ukraine crisis. Finance Minister Anton Siluanov believes the worst part of the economic turmoil is over amid low oil prices, shrinking wages and outside pressure.