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US racial gap

In the World, World economy 27th September 2020

The Economic Costs Of US Racial Inequality

The coronavirus pandemic and the deaths of several black people while in police custody have laid bare the US longstanding problem of discrimination against minority groups, especially against Black people, and how inequality has produced real economic costs and social losses. The gaps are wider now than in the 1950’s and 1960’s. Citi’s Global economists Dana M Peterson and Catherine L. Mann identifiy in the following report the underlying causes of this racial and economic gaps.

Repsol reinforces its exploration position in Alaska with 12 blocks

In the World, World economy 26th September 2020

It’s Time For US States That Grew Rich From Oil, Gas And Coal To Figure Out What’s Next

Bradley Handler, Matt Henry and Morgan Bazilian via The Conversation | These are very challenging times for U.S. fossil fuel-producing states, such as Wyoming, Alaska and North Dakota. The COVID-19 economic downturn has reduced energy demand, with uncertain prospects for the extent of its recovery. Meanwhile, rising concern about climate change and the declining cost of renewable energy are precipitating a sharp decline in demand for coal in particular.

Cryptocurrencies turn ten years; 2019 could be the year of tokenization

In the World, World economy 25th September 2020

Crypto Corner: Stablecoin Assets Pass $20Bn Mark

The total value of stablecoins has surpassed $20 billion for the first time, as investors move to hedge their risks in both cryptoassets and traditional markets. Coindesk, quoting data from Coin Metrics, show that the total value of assets for all stablecoins breached the $20 billion mark yesterday, just four months after breaking a $10-billion record in May.

wages

In the World, World economy 25th September 2020

Wage Income Cut By $3.5 Tr Globally In Q1’19, 5.5% Of World GDP

According to the International Labour Organization (ILO), wage income in the world has fallen by 10.7% in the first nine months of 2020, equivalent to $3.5 trillion or 5.5% of global GDP in the first three quarters of 2019. From the perspective of income, the positive side is that the figures do not take into account government subsidies which have provided a key safety net for families’ vital consumption.

midterm elections

World economy 24th September 2020

Three Policy Differences For Investors To Watch In The US Presidential Race

Donald Trump and Joe Biden have pronounced policy differences on corporate taxes, energy and US-China trade, but generally similar views around drug pricing, large-cap tech firms and infrastructure investment. As the US presidential election draws closer, the race is tightening between both candidates. While much is at stake in this election cycle, the three policy areas noted above could have a large impact on the markets and portfolio allocations, warns Allianz GI.

Tesla

In the World, World economy 23rd September 2020

Tesla’s ‘Battery Day’ Disappointed Investors

After being hyped up by CEO Elon Musk in the run up to it, Tesla’s ‘battery day’ disappointed investors, as the new innovations unveiled remain years away. The firm’s share price closed the day 5.6% down, then slumped further in after-hours trading, after Musk clarified that some of the technologies showcased are “close to working” and require a “a ton of work from here to there.”

Frontier markets on the front foot

In the World, World economy 21st September 2020

Vietnam: Robust Growth Rates Have Come To An End

The economy grew 7% in 2019, as a surge in exports to the US offset weaker demand from China. Private consumption and fixed investment also performed well, helped by rapid wage growth, rising tourism and export manufacturing. However, in 2020 the economic performance is severely impacted by the coronavirus pandemic, with GDP growth expected to slow down to 2.3%. Both domestic demand and exports are impacted, with tourism, transport (aviation), electronics, textiles, and agriculture being the most affected industries.

OPEC post mortem

In the World, World economy 21st September 2020

OPEC+ Wants Members To Fight Shoulder To Shoulder…

Analysts at BofA Global Research still expect the global oil market to move into a 4.9mn b/d deficit in 4Q20 on the back of the OPEC+ cuts, supporting crude prices. Yet diesel and jetfuel/kerosene make up by far the largest petroleum product group in the oil market. So crude oil prices cannot really rally until distillate demand, jet fuel included, recovers to more normal levels in the next few months.

Don't fear the Libra - worry about retail central bank digital currency instead

In the World, World economy 21st September 2020

Crypto Corner: Libra Hires HSBC Banking Chief

The Libra Association has hired former HSBC European head James Emmett as the managing director of Libra Networks — the operating company subsidiary of the association. Libra said on Thursday that Emmett, who spent more than 25 years at HSBC and recently stepped down as the CEO of HSBC Bank plc and Europe, is joining in October. Stuart Levey, CEO of the Libra Association, who also joined from HSBC recently, reportedly, said Emmett’s leadership “will help make Libra’s vision a reality.”