Global Markets Update More downside for yen than upside for Nikkei? The much more ambitious policy stance adopted by the Bank of Japan should keep the yen on a weakening trend, but the scope for a further boost to Japan’s stock market may be limited. 8th April 2013 · 1 min read
UK Economic Outlook The hare and the tortoise As the UK struggles to grow, she can only look on with envy at the budding recovery in the US. The UK will continue to lag behind for the foreseeable future. But further ahead, she should be able to... 8th April 2013 · 1 min read
Latin America Economics Update Colombian rate-cutting cycle over We suspect that the interest rate cutting cycle in Colombia has come to an end. Admittedly, to the extent that there are changes in the next 6-9 months, rates are more likely to fall than rise. But... 8th April 2013 · 1 min read
Europe Economics Weekly Is the ECB about to unveil another bazooka? Despite ECB President Mario Draghi’s assurance last week that the Bank “stands ready to act”, he gave very little indication of what support it might offer. An imminent interest rate cut is possible... 8th April 2013 · 1 min read
UK Economics Weekly Does Japan offer hope for a stagnating UK? Recent developments in Japan, with a new central bank governor and the unleashing of radical monetary policy measures, may offer hope for the UK as Mark Carney’s arrival moves closer. 8th April 2013 · 1 min read
Emerging Europe Economics Update Policy easing likely to focus on weaker ruble Pressure is mounting on Russian policymakers to act to stimulate the slowing economy. But unlike in 2008-09, there is little room for a large-scale fiscal stimulus. And substantial cuts in interest... 5th April 2013 · 1 min read
Europe Economics Update ECB "ready to act", but running out of options After leaving interest rates on hold today, ECB President Draghi acknowledged the downturn in the economic outlook and stated that the Bank stood ready to act in future. However, he provided little... 4th April 2013 · 1 min read
Emerging Europe Economics Update Hungary's "Funding for Growth" scheme lacks punch The “Funding for Growth” scheme announced by the National Bank of Hungary is not quite as radical as it could have been. This helps to explain the relatively muted reaction in the financial markets... 4th April 2013 · 1 min read
UK Economics Update MPC sits on its hands again Although the Monetary Policy Committee left policy on hold again today, we suspect that the decision was still a close one. And while the chances of more asset purchases in May have perhaps declined... 4th April 2013 · 1 min read
Japan Economics Update BoJ sets high bar to establish credibility By committing today to meet a 2% inflation target in two years, Governor Kuroda can justifiably claim to have set the Bank of Japan on a new path. But while markets have welcomed the announcement, the... 4th April 2013 · 1 min read
UK Economics Focus Opportunities and challenges from the "grey pound" The number of people aged 65 and over is set to increase by more than 4.5m by 2030. While this group currently accounts for less than £1 in every £5 of total spending, this share might rise to £1 in... 3rd April 2013 · 1 min read
UK Economics Update Household Borrowing Monitor (Feb.) February’s household borrowing figures suggested that, while mortgage lending continues to struggle, the recent signs of life evident in the consumer sector may be translating into a pick-up in... 2nd April 2013 · 1 min read
ECB Watch A softer tone but no action The crisis in Cyprus, together with the continued deterioration in indicators of euro-zone economic activity, should lead the ECB to strike a more supportive tone at this month’s press conference. But... 28th March 2013 · 1 min read
Global Markets Update Foreign enthusiasm for Japan starts to fade The two-day meeting of the Bank of Japan’s Policy Board which concludes next Thursday (4th April) will be the first under Haruhiko Kuroda’s leadership. Unfortunately, the markets’ expectations of the... 28th March 2013 · 1 min read
BoE Watch More QE unlikely this month, despite remit change The minutes of March’s Monetary Policy Committee meeting suggested that those against doing more QE will not have their minds changed easily. And the remit change in the Budget ended up being fairly... 28th March 2013 · 1 min read
Europe Data Response German Retail Sales (Feb.) & Unemployment (Mar.) February’s German retail sales data suggest that spending rose in Q1. But sales are still falling compared to a year earlier and with March’s unemployment data confirming that the labour market... 28th March 2013 · 1 min read
