Economics

26 April 2016

The Dollar Fights Back

The US dollar starts what promises to be an eventful week giving back some the gains score in second half of last week against the euro and yen.  Equity markets are extending their pre-weekend losses.  Commodities are also trading with a...

26 April 2016

World Bank and IMF Team Up on Issue of Carbon Pricing

The World Bank and International Monetary Fund (IMF) have teamed up to address the issue of climate change. Their latest plan involves using economic leverage in harmony with the technical assistance of private organizations to effect changes that the United...

24 April 2016

Catching Up with Currencies and Commodities

It is not that the US dollar had a particularly good week.  It was mixed.  The best performers were sterling and the Canadian dollar. The pound led with a 1.6% gain, followed closely by the Canadian dollar.  It is not...

24 April 2016

Market Participants Gear Up for a Big Week

The last week of April is eventful. The Reserve Bank of New Zealand, the Federal Reserve and the Bank of Japan hold policy meetings.  The UK, Eurozone, and the US provide the first estimates of Q1 GDP. Japan, the Eurozone,...

22 April 2016

Asian Trade Forges Ahead with the RCEP

There seems to be a pushback against trade agreements in the post-global financial crisis era. The Trans-Pacific Partnership (TPP) was signed in early 2016, but US presidential candidates have spared no effort criticizing it so near-term ratification is highly uncertain....

22 April 2016

Dollar Down, but Not Out

The US dollar has had a rough few months.  It has fallen against most major and emerging market currencies this year.  A critical issue for global investors and policymakers is whether the dollar’s uptrend is over, or is this just...

22 April 2016

Less Volatility, More Weekend

Equity markets are seeing this week's gains trimmed after the S&P 500 fell 0.5% yesterday, recording its biggest loss in two weeks.  Disappointing earnings in some tech leaders spurred profit taking.  The US 10-year Treasuries are consolidating the week's nine...

21 April 2016

All About the ECB

The ECB meeting is the session's highlight.  In recognition of the risk that ECB President Draghi expresses displeasure with the premature tightening of financial conditions through the exchange rate channel is encouraged a modest bout of euro selling.  The single...

20 April 2016

UN, IMF, World Bank, and OECD Join Forces in Wake of Panama Papers

Several of the world’s leading international economic organizations announced on Tuesday that they would join forces to confront the various tax issues illuminated by the recent Panama Papers scandal. These organizations include the United Nations (UN), the International Monetary Fund...

19 April 2016

Can Living in a ‘Good Society’ Have Economic Benefits?

Which is the best African country in which citizens should live? A recently developed barometer has measured just that.  The Good African Society Index, published in 2015, measures the quality of society in African states, exploring how African countries perform...

19 April 2016

EU and Canada Struggling to Reach Trade Deal

Although international economic treaty news has lately been peppered with more stories about better-known trade deals like the Trans-Pacific Partnership (TPP), there is another treaty that has been generating just as much discussion and, in some cases, animosity. The treaty...

19 April 2016

The U.S.’s Role in Asia Could Be ‘Trumped’

In the capitals of America’s Asian allies, two phenomena are combining to intensify already uneasy relations with Washington. The first is China’s continued assertiveness in the South China Sea. Beijing’s militarisation of these contested territories — transforming rocks and reefs...

19 April 2016

Positive Market Action with Little Market-Moving News

Global capital markets staged an impressive recovery after the initial reaction to the failure to freeze oil output sent reverberations through the oil markets, commodities, and Asian equities. The sharp reversal begun in Europe and extended in North America has...