Category: News Desk

Euro Stabilizes as Oil Plummets


The euro rose from its lowest point over a decade against the dollar as oil prices continued to fall.

For the second day straight, the euro rose slightly against the U.S. dollar even as analysts await news from the Federal Reserve’s Federal Open Market Committee about its plans to change its Federal funds rate target. Many economists expect the FOMC to remove the word “patient” from its statement, hinting to the market that a rate hike is set to come as early as June.

Nigerian Election Hinges on the Economy


Terrorist organization Boko Haram is a primary issue in the upcoming elections in Nigeria, but the country’s declining economy is also on the minds of many voters. The government has yet to tackle high unemployment and rising costs.

The Economics of Terrorism: How ISIS Funds Its Campaigns


ISIS has exploded on the scene of Islamic extremist terrorism in an unprecedented way. Seemingly emerging from obscurity, ISIS has jumped to the front of the line of threats in Iraq, Syria and other parts of the Middle East. This rise to infamy has largely been due to the incredible amount of money flowing through the coffers of the terrorist organization. But, where does all of this money come from?

QE Fueled Stock Markets Abroad Soar, U.S. Equities Stagnate


Stock markets in Europe and Japan have seen double-digit gains in 2015 as quantitative easing programs fuels equities in those markets.

Meanwhile, the United States has seen stocks remain pressured despite bullish calls from bankers and economists, who remain optimistic about the future of the American economy. In many cases, analysts have argued that the U.S. remains the most stable economy in the world, as geopolitical instability among Europe’s neighbors and demographic pressures in Asia limit alternatives abroad.

Tepid U.S. Stocks

Ireland Economy Improves Faster than All European Union Countries


The Irish economy grew by 4.8 percent in 2014, due to higher exports and stronger demand domestically. The European Commission also predicts that Ireland will grow at a faster rate than any EU country in 2015.

European Investors Inexplicably Choosing Local Banks and Lower Interest Rates


Europeans, and particularly Germans, appear to be choosing nationalism and convenience over higher returns on investments. The European Central Bank (ECB) recently announced its decision to keep its interest rates at historically low rates, hurting returns on relatively safe investments like those offered by banks. Nevertheless, many Europeans are sticking with these investments instead of moving their money abroad.

Retail Sales, Household Debt Slow in Sign of Lower Demand


Demand for goods and services are falling, causing households to take on less debt and retail sales to slow.

Household debt growth slowed to 2.7% on a year-over-year basis in the last three months of 2014, down 0.1 points from the previous quarter and 0.8 points from the highest point in 2014. While above the previous year’s growth of 0.6%, there was an expectation of a continued acceleration of nonfinancial debt at the end of 2014 as consumers grew more confident and used credit to make more purchases in the economy. That trend has failed to materialize.

Kurdistan and Iraq Reach an Oil Deal


Kurdistan agreed to export 97 percent of its oil to Baghdad. In return, the central government will allow northern Iraq to have more access to the monthly budget.

Major Producer

Billions of Rubles Secretly Leaving Russian Economy


Every year, billions of rubles leave the Russian economy, often through the UK. This massive outpouring is having a devastating impact on the value of the ruble and left many to wonder how so much currency is able to exit the country in such a fashion.

Estimates put the amounts flowing out of Russia and into the UK at approximately $1.5 billion every month. That equates to roughly $140 billion a year, and this appears to have been happening since at least 2006.

U.S. Consumers Win on Strong Dollar, Weak Euro


Continued strength in the U.S. dollar and weakness in the euro expects to benefit U.S. consumers, who can buy more with their dollar-denominated paychecks.

A slew of new reports from economists at several investment banks, including Goldman Sachs and JPMorgan, indicate that lower prices are coming to many goods categories, particularly from goods imported from Europe and Asia. One report noted that clothing, which is the most imported category by far, could see prices fall in 2015 thanks to cheaper energy costs and a stronger dollar.