The benefits of more gradual fiscal consolidation.
[credit provider=”Marc Chandler”] This Great Graphic was posted on FT Alphaville, which in turn got it from Soc Gen.
Of the major central banks meeting this week, the Bank of England seems the most likely to alter policy. It would not be exactly surprising as three members of the MPC including the governor voted to resume gilt purchases last month.
This Great Graphic was posted on the FT Alphaville, which in turn appears to have gotten it from Credit Suisse, who relied on Thomson Reuters data.
This Great Graphic comes from the CME. We tend not to see the increase in the yuan’s deposits in Hong Kong as the same as its internationalization. After all, Hong Kong is part of China and is just as much, we have argued of the Sino-ification of Hong Kong.
Moody’s took away the UK’s triple A rating late Friday. A ratings downgrade has long been rumoured, and although the timing is always surprising, the move itself has long been anticipated. Sterling slumped on the news in thin dealings, losing a cent in about 30 minutes.
There was something important coming from the G20 meeting, but it is not the currency wars that have captured so many imaginations in the media and blogosphere. It was about corporate taxes, but before turning to it, let’s try to put the currency statement in perspective.
The lower cost of living in China is often confused with a lower price of consumer goods. This Great Graphic from Economy Watch, shows that many consumer goods, particularly international brands, are more expensive in China. Economy Watch drew from data on three different web sites: e.weibo.com, East-West-Connect.com and […]
[credit provider=”The Economist” url=”http://www.economist.com/blogs/graphicdetail/2013/01/daily-chart-1?fsrc=scn/tw/te/growersandshrinkers”] This Great Graphic comes from The Economist. The graph to the far left is who the Economist Intelligence Unit anticipates to be the fastest growing economies this year. Three countries that are included seem surprising, Libya, Iraq and Mozambique. The chart to near left shows the […]
US dollar gains have been extended for the third session. The euro has been sold down to almost $.1.30 after testing $1.33 on Wed. More stale longs may be forced out on a break of $1.2985, which corresponds to a 50% retracement of the advance from the mid-Nov low near […]
This Great Graphic comes from the World Bank. While we are all familiar with the demographic shock in the high income countries. For a few years already, Japan is experiencing a shrinking work force and a shrinking population. Part of Europe, such as Italy, does not seem far behind. […]
[credit provider=”Business Insider” url=”http://www.businessinsider.com.au/the-most-important-charts-of-2012-2012-12″] Business Insider ran a series recently of charts from a number of different economists and strategists. These Great Graphics come from that series and are essentially different renditions of the same data. We are looking at the balance sheets of a number of central banks. One of […]
labour disputes at ports on both US coasts could disrupt trade in the new year and skew high frequency employment data. It could produce shortages of some consumer goods. The resulting higher prices could filter through into measured inflation.
The US dollar is mixed. Softer against the European complex, but firmer against the dollar bloc. It is essentially flat against the yen. Equity markets are advancing and the Nikkei, which gapped above the 3-year downtrend line yesterday, extended its gains by another 1%. Spanish and Italian bond yields […]
The outcome of Japan’s elections seems to be largely in line with market expectations. The Liberal Democrat Party won handily. It appears to have secured a majority of lower chamber of the Diet. There had been some reports suggesting that it might be able to achieve a super-majority of […]
[credit provider=”en.wikipedia.org” url=”http://en.wikipedia.org/wiki/File:CHF20-Honegger-security-1.jpg”] The US dollar saw its post-FOMC losses extended only against the euro as the perhaps the passable success of the Greek bond buy-back and bank supervision deal lent support to the single currency. Yet, even it succumbed to selling pressure in the European morning and returned to pre-FOMC […]
The euro has spent this week inside last week’s trading ranges. It is consolidating the break of the $1.28 support, the lower end of the trading range from mid-September through last week. This former support is now resistance as seen in Thursday’s price action. That area now also corresponds with […]