Tag: XXVII74

The S&P 500 and Nasdaq hit record highs this week, with the Dow jumping more than 200 points, continuing its four-week run.  Could they be rising because economies are contracting around the world? The U.S.-China trade war? The unrest in the streets in every hemisphere? The real answer was found in a survey that polled...

Despite having dropped interest rates to record lows plus record stimulus efforts, South Korea’s economy is failing to generate growth.  “We have expected fiscal spending to play the supporting role in adding vitality to the private sector, said Hong Nam-ki, South Korea’s finance minister. “However, it is not working well with limited spillover effects, making...

Last week, Moody’s, the American credit rating agency, lowered its outlook for India to negative. With their GDP dropping to 5 percent, a six-year low, Moody’s forecast a worsening economic climate and a lack of government action to reverse the trend.  Key factors for the negative outlook were the worsening liquidity squeeze, which was exacerbated...

Japan, the world’s third largest economy, grew 0.2 percent in the third quarter, down sharply from a 1.8 percent expansion the previous quarter.  Last week, Prime Minister Shinzo Abe announced Japan’s first stimulus package since 2016, which includes a 2019 budget running through March 2020 and spending plans to boost the economy into 2021.  Finance...

For many economists, the “official” economic data from China has long been questionable. In an effort to ease global skepticism, Beijing announced last week that local governments will now start using the same methods as the National Statistics Bureau when determining economic data. More than 800 local Chinese governments have defaulted on their debt so...

Currencies Going South As geopolitical strife intensifies south of the border, currencies are devaluating in Latin America, hitting new lows. The Chilean peso was down 1 percent against the dollar – trading at 800 to the dollar from 630 a year ago – and 15 percent against the dollar over the last year.  The Columbian...

Germany, the largest economy in the eurozone and the world’s fourth largest economy, grew just 0.1 percent in the third quarter, barely escaping recession, which is defined as two consecutive quarters of negative growth. Its GDP declined 0.2 percent in the second quarter.  Their economy is expected to only grow by 0.5 percent in 2019,...

In an effort to protect itself against future U.S. sanctions, and to distance itself from the dollar, Russia wants to cut its $45 billion dollar holdings in its $125 billion sovereign wealth fund.    Vladimir Kolychev, Russia’s deputy finance minister, said they are “looking at different reserve currencies that meet IMF standards, including the yuan...

Last Thursday, Evo Morales, the once popular leader of Bolivia, who was pressured to resign on 11 November, accused the United States and the Organization of American States (OAS) of leading a coup to replace him with a government more friendly to U.S. commercial interests. The OAS had been called in to review what was...

It’s non-stop. Another day, another wave of violent confrontations between Hong Kong protesters and police… this time closing down universities and virtually bringing commercial traffic to a halt. Unable and unwilling to deal with escalating conflict, some colleges ended the semester early while others have been become barricaded fortresses behind which protesting students are in...