Economics

Looking at the diary, today is the most important day of the week. The Bank of England and the Swiss National Bank meet.  The UK reports retail sales.  EMU reports CPI figures.  The US reports retail sales, industrial output, and...

There has been much discussion in the US presidential campaign about immigration, especially from Mexico.  Trump has proposed a wall for the 2000-mile border.  Different types of fences are on about a third of the border as it stands today. ...

The markets are trying to catch their collective breath after yesterday's dramatic moves.  The sharp slide in US equities may have weighed on Asian markets, but losses are mild. Still, the MSCI Asia-Pacific Index was off 0.8%, the fifth consecutive...

The market has not changed its mind.  Following Brainard's comments yesterday the market had downgraded the chances, which were already modest, of a Fed hike next week.  The September Fed funds futures is unchanged on the day.  The implied yield...

The picture of Presidents Xi and Obama, beaming as they shake hands after jointly announcing their ratification of the Paris Climate Agreement on the eve of the G20 summit, is even more striking when one considers just how far apart...

The global financial crisis raised critical questions about how international policy frameworks monitor, regulate and manage global liquidity. Liquidity is a public good and the international financial system is immediately affected by its excessive volatility. The G20 has been struggling...

Our approach to Fed-watching is clear:  Among the cacophony of voices, the Troika of Fed leadership, Yellen, Fischer and Dudley provide the clearest signal. They are most often on message, and their comments have been the best indications of policy.  ...

Stocks and bonds have begun the new week much like last week ended.  Sharp losses are being recorded.  The US dollar is mixed, with minor losses against the euro, yen, and sterling, but a firmer tone is evident against the...

The week ahead will likely be shaped by a combination of what happened last week and what will happen the week after next.  The end of last week saw a sell-off in equities and bonds and a recovery in the...

The US dollar is lower against all the major currencies this week as North American participants close it out.  On the day, the dollar is consolidating swings yesterday and is narrowly mixed.  Bond yields are higher and equities are mostly...

In Hangzhou, China began the push for G20 to overcome protectionism and fuel global growth prospects. That is vital to reverse stagnation in advanced economies and slowdown in emerging nations. On September 4-5, the leaders of the G20 economies met...

The shaving of 2017 and 2018 growth forecasts, recognition of continued downside risks did not prompt the ECB to adjust monetary policy.  Rates were left unchanged, as widely expected.  The ECB also refrained from extending the asset purchases.  This is...

The G20 summit of world leaders just finished two days of meetings, during which they focused primarily on the many ongoing fires threatening the global economy. These include the alleged “dumping” of Chinese steel on other nations, worsening climate change, cybersecurity and...

For two days at the start of September, the centre of East Asian politics moved to Russia’s main city on the Pacific coast. Vladivostok hosted the Eastern Economic Forum, an annual event designed to pitch the Russian Far East to...

The pessimists have claimed that the US is generating low paying jobs. Nearly every monthly jobs report is followed by what seems to be a canned retort.  The media picks up on the story and continues to regenerate it.  Earlier...