Top Stories

Search Results for deflation

US consumer spending

World economy 1st June 2016

US Consumer Spending At Levels Of 2009 Gives Impetus To Rate Hikes

BBVA Research | The latest personal income and outlays report by the BEA, which is the favourite indicator for the Federal Reserve to measure deflation, showed that income continued to expand at a solid pace (0. 4 % MoM) , while spending increased dramatically (1 % MoM) in April . The increase in income was in line with consensus expectations, while the consumer spending increase was significantly higher (consensus expectations stood at 0.7% MoM). The increase in consumer spending in April was the highest since August 2009 .

dollar rally

World economy 9th May 2016

Why The U.S. Dollar Will Continue To Rally

Marc Chandler via Caixin | The U.S. dollar has had a rough few months. It has fallen against most major and emerging market currencies this year. A critical issue for global investors and policymakers is whether the dollar’s uptrend is over or is this just a respite. Much is at stake with the answer.

dollar rollomacro

World economy 5th May 2016

Still Expecting Higher USD

It feels likely that markets will be waiting for more certainty on Fed hikes to push USD higher, especially given years of post-crisis overpricing of higher interest rates.

Fed2

World economy 3rd May 2016

Is The Fed’s QE Program Anti-Inflationary?

Benjamin Cole via Historinhas | Stanford luminary and economist John Cochrane is touting the fiscal theory of the price level (FTPL), in which the anticipated future of federal budget primary (operating) deficits is the key tell in present-day inflation. If the national budget looks re-inky, then inflation will result.

bank of japan

World economy 28th April 2016

Japan Could Be First On The Market With Helicopter Money

Julius Baer Research | After last Thursday’s European Central Bank (ECB) meeting, the US Fed and the BoJ are due to report this week. Will these three heavy-weight central banks do whatever it takes to reflate the global economy? We believe definitely, yes, if reflation does not unfold as desired.

cash

World economy 27th April 2016

Is It A Portfolio Imperative To Be Fully Invested? Probably Not

Natixis AM | In Q1 I had the chance to travel and spend some time with our U.S. advisor and investor clients. While no two portfolios are identical, I was struck by one major commonality: the amount of cash and uninvested balances left in portfolios. On a recent trip to the West Coast, advisors frequently noted portfolios with 10%–40% (!) cash.

low pricesTC

Spanish economy 19th April 2016

Low Inflation Still Not Affecting Spain’s Growth

It’s straight out of the textbook that low inflation – and above all deflation – has negative effects on economic growth that we all know about. That’s the main reason why ECB President Mario Draghi implemented an ambitious set of monetary expansion measures in March, with the aim of boosting prices to a level more suitable for economic growth, namely 2%.