US

Trade war can have collateral damage in Europe

Collateral Damage In Europe?

Jens Bastian via Macropolis | Like a deer caught in the headlights of an oncoming truck, EU member states and candidate countries aspiring to join the club in Brussels are watching with growing trepidation the escalating trade conflict between the United States and China.




The catalyst for European high yield spread widening against US was index composition changes

US Against Europe Economy: A Temporary Brake On Activity In Q1’18

The reasons behind the cooling off in activity on both sides of the Atlantic during Q1’18 are more important than the cooling off itself. In fact, the characteristics of these reasons are those which allow us to have confidence about the improvement in activity in the spring in both the US and Europe.



We need to be capable of making a valuation of the intangibles in the new economy

“Not Recognising Intangible Assets Is Creating Huge Amounts Of Goodwill”

“Goodwill only appears with the acquisition of a company. Not if you just grow organically, which makes comparisons difficult. Skype paid 2.6 billion dollars for eBay and goodwill was 2.3 billion. We need to be capable of making a valuation of the intangibles in this type of company,” explains Anne Jeny, member of the Management Committee of the European Accounting Association.


China drags US farmers into trade dispute

China Drags US Farmers Into Trade Dispute

In response to the US tariffs on Chinese exports worth USD 50 billion, it threatened to impose levies of 25% on a range of US goods worth about the same amount, including soybeans. The US is one of two world’s largest sellers of soybeans, together with Brazil. China is the world’s dominant buyer, accounting for more than 60% of all imports


Jerome Powell baffled both the experts and the markets

Jerome Powell ditches forward guidance

In his first press conference, Jerome Powell baffled both the experts and the markets. After reading the hawkish introductory statement, he defused all fears for a harsh and swift monetary tightening.


A world with less inflation

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.

 


Fed monetary policy

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.