Asia Economics Update Strong Malaysian economy can withstand more rate hikes Malaysia's economy accelerated for the fifth straight quarter in Q2, supported by strong export growth. Although Malaysia’s headline growth rate is likely to drop off in the second half of the year as... 15th August 2014 · 1 min read
US Economics Update ISM indices in rate-hiking territory The ISM activity indices have risen to levels that previously prompted the Fed to raise interest ratesand the yield curve to steepen. This is unlikely to force the Fed into action immediately – in... 14th August 2014 · 1 min read
Asia Economics Update Further rate cuts in Korea unlikely Today’s interest rate cut by the Bank of Korea (BoK) is unlikely to mark the start of a prolonged period of policy easing. In fact, with growth likely to bounce back strongly in the second half of the... 14th August 2014 · 1 min read
Emerging Europe Economics Update Turkish slowdown to trigger further pressure for rate cuts Recep Tayyip Erdogan’s election victory and intrigue about the composition of the government have dominated the headlines in Turkey. But the fact that the economy has slowed sharply over the past few... 13th August 2014 · 1 min read
China Economics Update A softer start to Q3 Today’s data on lending, output and spending for July suggest that, after a strong Q2, China’s economy slowed at the start of Q3. Policymakers are likely to continue to provide targeted support to... 13th August 2014 · 1 min read
Latin America Economics Update A fork in the road Data on vehicle production released over the past month suggest contrasting fortunes for Latin America’s two largest economies. While Mexico seems to be turning a corner and growth over the second... 13th August 2014 · 1 min read
US Economics Update A new policy rule for the post-crisis era Most monetary policy rules, many of which suggest that interest rates should already have risen, arelargely useless in the post-crisis world. If we make adjustments to allow for a lower neutral rate... 11th August 2014 · 1 min read
Europe Economics Weekly Mr Draghi talks down the euro, but action needed While last week’s ECB Governing Council meeting offered few signs of imminent further policymeasures, one encouraging development was President Draghi’s willingness to talk down theeuro. But we think... 11th August 2014 · 1 min read
Asia Economics Weekly Does Korea need lower interest rates? A sharp slowdown in the Korean economy last quarter and dovish rhetoric from the central bank has raised expectations that interest rates will be cut at Thursday’s scheduled policy meeting. With the... 11th August 2014 · 1 min read
Emerging Europe Economics Update Q2 GDP data to show Central Europe’s recovery losing steam The raft of second quarter GDP data due to be published next week is likely to show that the recovery in Central and South Eastern Europe lost steam. Worryingly, having made a bright start to Q2... 8th August 2014 · 1 min read
Latin America Economics Update Peruvian policymakers to tread carefully Interest rates in Peru were left on hold at 3.75% last night and we think that above-target inflation and a large current account deficit mean that policymakers are likely to resist aggressive... 8th August 2014 · 1 min read
Japan Economics Update BoJ may still have to step up pace of easing The BoJ left policy settings unchanged today, and may merely confirm that QQE will be maintained in its current form at the October meeting. However, we expect inflation to fall short of the Bank's... 8th August 2014 · 1 min read
Asia Economics Update What will Fed rate hikes mean for Asia? EM assets sold off sharply last year after the US Fed hinted that QE was on borrowed time, with some of Asia's major economies getting caught up in the turmoil. Markets have become jittery again in... 8th August 2014 · 1 min read
Europe Economics Update ECB inching towards QE The ECB gave no strong hints of imminent policy action this month as it waited to judge the effects ofpreviously announced measures and claimed that long-term inflation expectations were wellanchored... 7th August 2014 · 1 min read
UK Economics Update Low inflation should limit pace of rate hikes The continued strength of the UK’s recovery suggests that today’s vote to keep Bank Rate at 0.5% maynot have been unanimous and that a rate hike this year cannot be ruled out. Even so, the outlook... 7th August 2014 · 1 min read
Middle East & North Africa Economics Update Weaker Saudi credit growth could be here to stay The past few months have brought further evidence that credit growth is coming off the boil in parts of the Gulf. As we explain in this Watch, there are reasons to think that this could prove to be... 7th August 2014 · 1 min read
