Softer than expected economic growth in China (see discussion) has finally spurred the PBoC into action. However, rather than undertaking asset purchases that would inject reserves into the overall banking system, the PBoC forced liquidity directly into state-owned banks.
Stock prices have a high correlation to economic activity and earnings. History tells us bear markets are often kicked-off by recessions. Recent economic data does not hint at an imminent recession. However, a mixed message came in a September 15 report on industrial production.
Gold recently fell to its lowest level in seven-and-a-half months as the dollar rose to a 14-month high. Easing tensions in Ukraine and the Middle East also acted as a drag on gold and silver prices. Investors have been asking the obvious question...
The debate over natural gas exports appears to be over. On Sept. 10, the U.S. Department of Energy approved two more export terminals for liquefied natural gas (LNG) and it barely made any news.
The Fed remains the market’s sole preoccupation today as investors look for clues to the future course of monetary policy in the central bank’s official statement this afternoon. The ‘considerable time’ debate has been dominating market participants’ discussion of the Fed.
Water is the single most important resource on the planet but human consumption is already beginning to outpace growth of the global water supply. As a result, tensions over shared water resources could give rise to conflict.
With ongoing problems in Europe and U.S. valuations looking stretched, well-known money manager Louis-Vincent Gave thinks Asia has the most going for it right now. Here are some excerpts of his recent interview.
This Thursday, the 18th of September, Scotland goes to the polls to decide whether it wants to stay in a Union with the rest of Great Britain or go down the road of independence. At the moment the election is too close to call with sentiment equally divided between either camp.
The idea of Scottish independence has moved from the implausible to the very possible. Whether or not it actually happens, the idea that the union of England and Scotland, which has existed for more than 300 years, could be dissolved has enormous implications in its own right, and significant implications for Europe and even for global stability.
Yellen and Company will meet today and tomorrow to assess any policy changes. This will be the last meeting before the October meeting during which the cessation of QE is expected. Inflation doesn't appear to be a major threat at the moment...