Economic Conditions

The semblance of stability that had seemed to return to the global capital markets has ended abruptly.  Nearly every major country that has reported August manufacturing PMI except Germany has disappointed.  China's manufacturing PMI hit a three year low (49.7...

After a tumultuous week, the global capital markets are struggling to stabilize.  Chinese equities were under sharp downward pressure following news reports that the large-scale intervention was to end.  However, stocks roared back in late dealings, and other reports indicated...

There are three things that will command investors' attention in the week ahead.  The first, and most important, is whether the global capital markets will continue to move toward stability after the huge drama over the past week or two....

While Asian equity markets extended yesterday's rally, a consolidative tone has emerged elsewhere.  This translates into heavier equities in Europe, including US shares that trade there, lower core bond yields, softer oil, and a dollar that has seen some of...

The global capital markets are staging a convincing recovery.   The strong sustained gains in US equities yesterday has fueled continued recovery in Asia and Europe.  The strong rally of the Shanghai Composite in the last hour of domestic trading looked...

As the Fed is paving way for the first rate hike in a decade, the world economy prepares for the greatest shift of capital flows in half a decade. Recent market turmoil in the U.S. and China heralds the transition....

The inability of the US stock market to sustain gains following the Chinese rate cut has left the market unsettled.  Similarly, despite early gains, Chinese stocks finished lower, with the losing streak extended into a fifth session.  Many Asian markets...

North American markets did not close well yesterday, and the Nikkei and Shanghai Composite sold off. North American markets did not close well yesterday, and the Nikkei and Shanghai Composite sold off. However, the magnitude of yesterday's moves sapped the...

The global meltdown in stocks and commodities has continued.  China failed to stem the tide by cutting reserve requirements (or interest rates) as many had expected.  US 10-year yield had fallen below the 2.0% threshold but is back above it...

China's Premier Zhou Enlai was asked in 1972 about the political consequence of the French Revolution, and he famously quipped it was too early to say. Even if, as historians recognize, Zhou was referring to the unrest in 1968 rather...

The Economist posted this Great Graphic in June but it is arguably even more relevant today.   It shows world growth broken down into four contributors, China, the US, India and ROW (rest of the world).  Europe fits into this catch-all...

The US dollar is trading higher against the dollar-bloc, encouraged by the continued decline in commodity prices and energy.  Disappointment with retail sales when petrol is included pushed sterling lower.  The greenback is making new highs against several emerging market...

Oil prices have fallen to new lows following news of an unexpected 2.68 mln barrel build of US crude oil inventories.  The API data had prepared the market a small draw down. Many view the sharp drop in oil prices...

The US dollar has been mostly confined to yesterday's ranges against the major currencies.  Outside of a larger than expected Japan trade deficit, and a jump in the Eurozone's current account surplus, the data stream is light.  The main interest...

Firmer UK inflation has helped sterling recover from yesterday's decline. Sterling overcame resistance near $1.5700 making $1.58 the next technical target. Poor US housing starts data, after a heady 9.8% increase in June, with permits unwinding 7.4% rise could provide...