Citi’s research analysts targets two significant issues on this recent decline: disinflation pressures and what would happen if oil prices don’t recover.
Caixin | After three years of rebuffs, China’s A-share market finally made it into MSCI Inc.’s global indexes. Here are some reactions to the breakthrough.
OPEC’s supply deal extension seems to have become a formality only after Saudi Arabia and Russia pledged their support. The persistent supply glut and reviving shale boom question the deal’s effectiveness. Julius Baer’s analysts see oil prices trading sideways.
The Corner | Everything went by the book, as investor’s preferred candidate Emmanuel Macron comfortably won the French elections against far-rightist Marine Le Pen by more than 30 percentage points. The euro came last night at times to surpass the level of $ 1.10 per unity against the dollar (although it lost this level in the Asian markets this morning). European stocks are expected to gain.
It beggars belief: over eight years from a calamitous financial crash in Iceland, much to do with failed financial supervision, there is still reason to worry about financial supervision in Iceland. Or rather, there is again reason to worry now that the sheltering capital controls are for all intents and purposes abolished Iceland. All of this, according to the latest IMF conclusion.
Nick Ottens via The Atlantic Sentinel | Brexit fundamentalists scored another victory on Wednesday, when the United Kingdom began the process of withdrawing from the European Union without a plan for what comes next.
The number of unemployed people registered with the Spanish unemployment office rose by 22,801 (+0.6%) in September. Even so, the total number of jobless people remained at the lowest level for the last seven years at 3.720.297, according to a statement from the Employment Ministry on Tuesday.
As we have already said there are moments when the economic and political cycles don’t go hand in hand. Yesterday, the investiture of caretaker Prime Minister Mariano Rajoy got underway, with very slight possibilities of his being able to win enough votes to return to office with a majority. But the Ibex 35 blue chip index didn’t even move: in fact it posted a nearly 1% gain.
Last week the Council decided that Spain and Portugal’s recent efforts to reduce deficit were not enough. This lead to the two countries being fined, the first time this happens since the inception of the euro.
J.L.M. Campuzano (AEB) | It’s the economy! Although the economy was certainly not an issue which weighed on a large part of the vote in the Brexit referendum. And maybe that’s exactly why the outcome took us all by surprise. Are the macro forecasts made prior to the referendum obsolete? I hope not…