With Republicans set to make significant gains in this week's mid-term elections, our suspicion is that fiscal policy will end up being largely paralysed for the next two years. The Fed should...

The manufacturing sector has been one of the few success stories in the otherwise disappointing economic recovery. But the stellar manufacturing recovery is fading so fast that there is a chance it...

The Bank of Canada appears some way from further monetary tightening. Economic conditions would have to improve substantially and by enough to offset the increasing downside risks to future inflation...

The annual rate of decline in our Capital Economics' measure of M3 continues to slow. (See Chart below.) There is a good chance that the widely expected second round of quantitative easing from the...