The Federal Reserve’s Federal Open Market Committee (FOMC) two-day meeting over September 20-21 concluded with the FOMC’s decision to engage in a ‘twist’ operation and re-invest maturing agency debt. However, the decision fell well short of QE3 or other unconventional operations. In a special feature in Business Monitor Online today, we analyse the FOMC statement… [Read more]
The confirmation of the 1.8% q-o-q annualised real GDP growth estimate for the US in Q1 2011 has put increasing focus on the US economic slowdown in H1 2011, and is forcing a downward reconsideration of the rate hike cycle in 2012. BMI has lowered its 2011 real GDP growth forecast to 2.6% from 2.9%,… [Read more]
Friday morning’s news that the People’s Bank of China (PBOC) has decided to raise the yuan reserve requirement ratio for banks by 50bps to 18.5% comes as little surprise to BMI. It is in line with our Asia team’s expectations that the ratio would be increased further in order to cool runaway credit growth. And… [Read more]
Emerging Market (EM) equities are looking good at the moment, there is no doubt about it, and as regular readers of Riskwatchdog will already know, I am particularly bullish towards Polish, Turkish and Abu Dhabi stocks. But now looking elsewhere for the next big thing, I turn my attention to Latin America, identifying Peru as… [Read more]
On the back of the US Federal Reserve’s decision to purchase US$600bn in treasury assets through the second quarter of 2011, we assess the implications for the US economy and global financial markets. Business Monitor’s Head of Country Risk & Financial Markets Justin Patrie speaks with Global Economic Strategist Tim Cooper.
On the back of the latest European Central Bank (ECB) Governing Council meeting held on October 7, it still looks like rates will remain low for a while yet. While the eurozone macroeconomic outlook has remained constant in August and September, global monetary dynamics have not. With the Bank of Japan launching fresh quantitative easing… [Read more]
With Halloween around the corner, we ask BMI’s Global Economic Strategist, Tim Cooper, if the latest Q3 GDP reading in the US is a ‘Trick’ or a ‘Treat’. For now, markets appear to be thinking the latter.
