MADRID | By Julia Pastor | The European Parliament and the EU’s governments have just signed an agreement to develop a law that reinforces controls over high frequency computerized stock exchanges trading, in order to avoid sudden collapses of markets. To minimize the systemic risk, the algorithms will have to be examined and authorised by regulators.
NEW YORK | By Joelle Gamble via Next New Deal | According to the White House, the five Promise Zones, which will be established in Los Angeles, San Antonio, Philadelphia, Kentucky, and Oklahoma will focus on replacing distressed housing, reducing crime rates, increasing student high school graduation prospects, and stimulating economic growth via tax incentives.
The economies of sub-Saharan Africa have, since the late 1990s to 2013, been experiencing consistent economic expansion. Six of the world’s fastest growing economies are currently within this region. Whereas economic growth slumped for most of the world in recent years, sub-Saharan Africa’s growth has stayed resilient right through the global recession.
MADRID: By Álex García.
LONDON | By Joseph Abate at Barclays | For a global 21st century economy, there is a surprising amount of US paper currency circulating. Total US currency outstanding is approximately $1.2trn, which on a per capita basis works out to $3,800.
COMMENTS ON ASIA-PACIFIC By Ray Kwong | Depending on who you talk to, China became the world’s biggest trader in goods for the first time last year, edging out the U.S. estimated 2013 total by about US$250 billion.
LONDON | By Michael Gavin at Barclays | The recent decline of headline and core inflation in the US and Europe has intensified interest in the economics of deflation, particularly the perceived danger that Europe may be headed for a deflationary episode. Deflation is particularly unsettling for many policymakers and market participants because of the theoretical risk that it may render monetary policy ineffective, creating a ‘liquidity trap’ from which it may be very difficult to escape.
NEW YORK | By Ana Fuentes | In an eagerly awaited meeting for the Spanish government, PM Mariano Rajoy made his first official visit to the White House on Monday. As expected, Barack Obama praised the progress and reforms made by the Southern European economy, although both leaders agreed unemployment rate is still posing a major challenge. Later, Mr Rajoy also met IMF’s Head Christine Lagarde. After two hard recession years, and even more painful austerity measures, Spain is looking to restore international investors’ confidence.
SAO PAULO | By Marcus Nunes | According to Alan Goolsbee, as Mr. Bernanke prepares to depart at the end of January and the Fed has initiated the exit-strategy countdown with the start of tapering, it is time to take stock of the QE Era—and time for the critics to admit they were wrong.
Op-ed by Ana Fuentes | We no longer hear about ‘Spailout’ nor ‘Grexit’, but there seems to be a euro zone’s new victim: France. A Newsweek magazine article called ‘The fall of France’ wondered about the Hexagone’s economic health and how it may be a burden for the EZ’s recovery. The problem is, some of the stated facts were wrong. French media are striking back.