One of the big themes my colleagues and I have flagged up since late 2007 is the eventual rebalancing of the United States’ external accounts. There are several reasons – both domestic and external – why we believe the US current account deficit will continue to narrow over the coming years. We list these below,… [Read more]
There are big question marks over the current policy advocated by the Turkish central bank, which despite stellar economic growth chose to cut interest rates to stem the flow of ‘hot money’. With consumer credit growing at over 40% y-o-y in late May, and inflation beginning to rear its head, we ask Chris Graham, Europe… [Read more]
Latvia is the newest victim of the credit crunch. This is not official. No formal application has been made for an IMF bail-out package, nor has it made the front pages of any major newspaper of record on the continent. That said, with the economy contracting by 4.2% in the third quarter (down from 10.1%… [Read more]
