Market Insights
Money Matters
Money Matters 16th October 2018
CHINESE GDP DATA MAY KEEP MARKETS ON THEIR TOES Eurozone member states, Japan and the UK publish inflation statistics this week. The broad spectrum of inflation
Money Matters 9th October 2018
POLITICAL TENSIONS & DEBATES DRIVE MARKETS As there are no major policy events scheduled for the coming week in developed economies, financial markets are going
Money Matters 2nd October 2018
FEDERAL RESERVE REMAINS CAUTIOUS AS EXTERNAL RISKS MOUNT The FOMC delivered a 25bp hike lifting the range of the Fed funds rate to 2.00-2.25%. The
Money Matters 25th September 2018
ENOUGH WITH THE TRADE TALKS Although new tariffs levied on Chinese products by the US come into force this week (24th September), it was announced that
Money Matters 18th September 2018
CAN A GOLDILOCKS MARKET RETURN? Risk aversion in global markets faded by the end of last week, due to several coinciding factors: Trade tensions eased, as
Money Matters 11th September 2018
NINETY-NINE PROBLEMS, BUT A RATE HIKE AIN’T ONE Turmoil in the EM universe will probably continue this week, as none of the countries that triggered
Money Matters 4th September 2018
DRAGHI’S TRICHET MOMENT IS IMMINENT ECB President Mario Draghi and his fellow members on the European Central Bank’s Governing Council have been doing everything right
Money Matters 29th August 2018
POWELL’S CAUTIOUS REMARKS SPURRED STOCK MARKET Although markets still believe that two additional 25bp hikes by the Fed are a done deal in the second
Money Matters 21st August 2018
TURKEY IS IDIOSYNCRATIC, NOT SYSTEMATIC Headlines were dominated by the market turmoil in Turkey that triggered a mini meltdown in the EM universe. With a
Money Matters 14th August 2018
THE POTUS FRIED TURKEY: TRYING TIMES FOR ILLEBERAL COUNTRIES Turkey is experiencing a fully blown currency crisis and financial meltdown. The Turkish economy has been
Money Matters 7th August 2018
MORE SMOKE THAN FIRE According to speculation reported by Bloomberg, US Treasury Secretary Mnuchin and the Chinese Vice Premier had private discussions in an attempt
Money Matters 31st July 2018
The US economy expanded by 4.1% in seasonally adjusted annualised terms in 2018 Q2. All core components exhibited expansion, as real consumer spending rose 4%, government spending increased 2.1%, non-residential investments were up 7.3%, exports edged up 9.3%, while imports were flat.
Money Matters 24th July 2018
Last week, the International Monetary Fund (IMF) updated its global macroeconomic assessment and kept the headline aggregate growth forecasts for 2018 and 2019 unchanged at 3.9%. Even though the headline global growth rates have not changed, growth projections for several economies have been revised due to the shifts in the balance of risks induced by trade tensions
Money Matters 17th July 2018
The last decade with abundant liquidity and low commodity prices would have been the ideal period for governments to roll out structural reforms in order to reduce vulnerabilities and build up buffers. However, in aggregate, not much has been done; many countries barely ‘muddled through’ the post-GFC years.
Money Matters 10th July 2018
Bank of England Governor Mark Carney delivered a rather upbeat view on the UK economy last week. In the Governor’s opinion, the economic softness observed in Q1 was mostly due to adverse weather conditions and economic momentum which picked up in Q2
Money Matters 3rd July 2018
As a tumultuous quarter came to a close last week, it appears many investors were in unwind mode – selling equities and shifting into sectors and regions perceived to be more defensive. As denoted in previous market outlooks, the global cycle is certainly ageing, which should prompt more volatility. However, taking in to consideration President Trump’s harsh trade and foreign policy rhetoric, without it, underlying conditions would likely still be resilient enough to support markets.
Money Matters 26th June 2018
In Washington, President Trump upped the ante on trade last week. Currently, USD 50bn of Chinese imports will become subject to 25% tariffs from the 6th July. Therefore, considering also the responses of the US’s trade partners, it is fair to say the global trade war just got serious. It’s expected Trump’s counterparts will make efforts to de-escalate the situation.
Money Matters 19th June 2018
Last week saw 3 big central bank meetings, which served to reiterate the varying fortunes of the US, Europe and Japan since the crisis. In the US, the FED raised rates and upgraded forecasts as they predicted – 4 rate hikes for 2018 and a continuation of one of the longest economic cycles in history.
