Inflation: A Little Can Turn Out To Be A Lot
Just a couple of years ago, deflation was a concern for US economists. And, although it’s true that this threat has almost disappeared, rises in prices have shown themselves to be surprisingly elusive.
In the World
Two Market Turmoils Feb 2018 Against Aug 2015: Similiarities And Differences
Inspired by game theory, JP Morgan’s analaysts Marko Kolanovic and Bram Kaplan have analysed February 2018 market turmoil against the one that ocurred in August 2015 as both sell-offs had a striking similarity. The conclusion is that if equities follow 2015 flow patterns, new market highs may come soon.
Be careful with the Taylor Law
We need to be aware of the existence of regulations over and above the well-known Taylor Law, starting with this regulation adjusted to establishing a downward limit on rates of 0%, which is very important in the US Fed’s case.
China Central Bank Gets First New Governor in 15 Years
By Leng Cheng, Gabriel Crossley, Wu Hongyuran and Peng Qinqin via Caixin | Yi Gang, deputy governor of the People’s Bank of China (PBOC), has been named the new head of the central bank, succeeding Zhou Xiaochuan, who has retired after more than 15 years in the post — the longest in the PBOC’s history.
Each Country For Itself
Growth has made a comeback but each country already wants to take its own path. As explained by Philippe Waechter, Chief Economist of Ostrum AM, “unity is no longer on the cards and the world economy is fast going down a very different road”.
The Fed Cowers From A Phantom
With wages rising at well under 3%, any productivity improvements greater than 1% will mean wages are not helping the Federal Reserve hit its putative 2% inflation target.
The Positive Effects of Trump’s Challenge to NAFTA
Ivan Farias Pelcastre and Hera Jabeen | Since the start of diplomatic relations in 1944, and until very recently, economic and political links between Canada and Mexico were limited. Now to effectively progress with the NAFTA renegotiations, Canada or Mexico can recalibrate their trade and make concessions to the US process.
Geopolitical And Economic Uncertainty: Deep Impact?
The relationship between geopolitics and economic variables is a recurrent theme in the media. And not just in the media: economists are increasingly more aware of the importance of analysing geopolitical risks to complete an accurate exercise on the economic outlook.
On Gender Equality, Is the Public More Progressive Than Political Elites?
Women have rallied around the world for gender equality and against violence on International Women’s Day celebrated in current week. Citi analysts Tina M Fordham and the independent political commentator Peter Kellner have wondered if this movement will last and can mean a sufficient momentum to bring about a “tipping point”.
First ‘Belt and Road’ Asset-Backed Security Gets Go-Ahead
Zhang Yu and Lin Jinbing via Caixin | China’s first “Belt and Road” asset-backed security (ABS) has won approval from the Shanghai Stock Exchange in a sign of support for China’s ambitious international investment and trade initiative.